MoneyRadar

Credit card interest trap

See how long a balance takes to clear — and what it bleeds.

Quick answer

A credit card debt calculator shows how long an unpaid balance takes to clear and total interest at 36–48% APR in India. If your payment covers less than monthly interest, the debt never clears — pay the full statement balance.

₹50K
42%
₹3,000

Time to clear it

26 months

Paying ₹3,000/month against ₹50,000 at 42% APR.

Extra paid as interest
₹26,359
Total you'll pay
₹76,359

Clear the full bill every month and this number is always zero.

Am I ready for a card?

Rates & rules checked on 15 June 2026 · based on FY 2025-26 (AY 2026-27).

What this tells you

Credit cards charge 36–48% a year on unpaid balances — the most expensive mainstream debt in India. This shows how long a balance takes to clear and what it bleeds.

How it's calculated

We apply the monthly interest to your balance, subtract your payment, and repeat until it clears. If your payment can't cover the monthly interest, the debt never clears — the balance grows forever.

Common questions

What's the minimum-due trap?
Paying only the 'minimum due' (usually 5%) keeps the card active but lets the rest compound at 40%+. It's designed to keep you in debt. Always pay the full statement balance.
Read the full guide: Credit card guide

Jargon, explained

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