Credit card payoff planner
Type your card balance and its monthly rate. See how long paying only the minimum takes, what it costs in interest, and how much a fixed monthly payment saves.
Why the minimum keeps you paying
As the balance falls, so does 5% of it. Most of each small payment goes on interest, so the last thousands take years.
3.5% a month sounds small, but it is about 42% a year, and more once interest is charged on interest. That is several times a typical personal loan rate.
Missing the minimum brings a late fee (the Central Bank fee table caps it at AED 230, VAT is added on top), and it is recorded on your credit report, which lenders check.
If you pay the whole statement balance by the due date, no interest is charged on purchases. Cash withdrawals are usually charged interest from the day you take them.
An estimate, not financial advice. Banks work out interest on the average daily balance and add fees, so your real figures will differ a little. Rates, minimum payments and fees vary by bank and card.
Sources: Central Bank of the UAE, Regulations Regarding Bank Loans and Other Services Offered to Individual Customers (Circular 29/2011), CBUAE Rulebook (rulebook.centralbank.ae): Article 6 and its clarification (no interest when the statement balance is paid in full by the due date; cash advances may be charged from the transaction date), Article 7 (all loan and card repayments up to 50% of gross salary), Appendix 2 fee table (late payment fee up to AED 230). Monthly rates: an independent UAE credit card rate index of 125 cards, 7 October 2026 (kredit.ae), range 2.75% to 3.99% a month, median 3.69%. Minimum payment: banks' published key facts statements for UAE cards, for example "5% of the closing balance or AED 100, whichever is higher", and on other cards "1% of the balance plus interest and fees, at least AED 110". Method: each month interest = balance × monthly rate, then the payment is taken off; no new spending, no fees. Last checked: 27 Oct 2026.