Minimum payment due意思

"Minimum payment due" is a term commonly used in the context of credit card statements or loan agreements. It refers to the smallest amount of money that a cardholder or borrower is required to pay by the due date to avoid late fees or to keep the account in good standing.

When you receive a credit card statement, it will typically list the minimum payment due, which is usually a small percentage of the total balance or a fixed amount. For example, if your statement shows a minimum payment due of $25 and your balance is $1,000, you can choose to pay just $25 to avoid late fees, but paying the full balance or a higher amount would be better to reduce the interest charges and to pay off the debt faster.

It's important to note that making only the minimum payment due will result in interest charges and can extend the time it takes to pay off the debt. Paying more than the minimum amount due can help you save money in the long run by reducing interest charges and potentially allowing you to pay off the debt sooner.

In the context of loan agreements, the minimum payment due might be a fixed amount or a percentage of the outstanding balance that the borrower must pay each month to maintain the loan terms and avoid default.

Always check your credit card statement or loan agreement for the specific terms and conditions regarding minimum payments due, interest rates, and any other fees or charges. If you have any questions or concerns, you should contact your credit card issuer or lender directly for clarification.