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India: a 5% minimum against the highest card rates here

Indian issuers typically require 5% of the balance a month, one of the highest minimum percentages of any market this calculator covers, with the month's interest taken from within it and a flat floor of about ₹200.

A 5% minimum only looks generous until it meets the rate. Card interest in India is quoted per month rather than per year, and 3.5% a month is a common headline, which the issuer annualises to about 42% and which, compounded month on month, costs more than that again. On a card at that rate, a 5% minimum leaves about 1.5% of the balance going to principal, so the debt falls more slowly than a British card clearing 1% of principal on top of its interest. Comparing minimum percentages across countries without the rate attached is how people talk themselves into revolving a balance here.

The Reserve Bank of India sets no ceiling on card interest. Its credit and debit card directions govern billing, disclosure and the treatment of unpaid amounts, but the rate itself is the issuer's, which is why the practical upper bound in the calculator is around 48% rather than a statutory figure.

For how the calculation works, the formula behind it and what it leaves out, see the full guide.

Data sources

  • Indian consumer finance conventions

    Effective 2022-07-01 onward · retrieved 2026-08-30

    Road tax rates and the retirement age both vary by state and by employer.

    How we checked these figures

    The Reserve Bank requires issuers to disclose the annualised rate but sets no ceiling on it.

    Current

This calculator in other countries

Each country has its own rates, thresholds and rules, and its own page with the official sources they came from.

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Every CentExact calculator is built from the published finance formula, tested against spreadsheet, lender and tax-authority figures, and reviewed when the underlying rates or rules change.

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This calculator is for general information only and is not financial advice. Results are estimates based on the figures you enter and the stated formula; lenders and providers may round or calculate differently. Check any decision with the institution involved or a qualified adviser.