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Struggling with Credit Card Debt? Here’s Why Your Principal Isn’t Reducing Even After Paying Minimum Amount Due


💳 Are you paying the minimum amount due on your credit card but still stuck in a never-ending cycle of debt? You’re not alone. Many card users in India fall into the same trap, unknowingly worsening their financial health month after month.


🔍 What Is Minimum Amount Due (MAD)?

The Minimum Amount Due (MAD) is usually 2% to 5% of your total outstanding credit card bill. It’s the bare minimum required to keep your account active and avoid late fees. But here’s the catch:

✅ It only covers interest and small part of principal
❌ It does not reduce your overall debt significantly
⚠️ It leads to interest compounding on unpaid balance


⚠️ Why Is This a Problem?

If you’re consistently paying just MAD:

  • Your principal remains almost untouched
  • You’re charged interest between 36% – 48% annually
  • Your CIBIL score might drop due to rising debt-to-income ratio
  • You’re trapped in a cycle of repayments without relief

💡 The Real Impact of Only Paying MAD

Let’s say your outstanding is ₹1,00,000.
Paying only ₹3,000 every month?

You’re only reducing interest, not the actual loan. Over a year, you might still owe ₹90,000+, and the interest keeps growing.


🛑 Avoid the Trap: Here’s What You Should Do

  1. Stop paying just MAD – aim to pay more than the minimum
  2. Avoid using multiple cards without tracking repayments
  3. Don’t make multiple enquiries – it hurts your CIBIL
  4. Get help from loan experts to consolidate or restructure your debt

🧠 How Shivafinz Can Help You

At Shivafinz, we understand how hard it is to juggle credit card dues with monthly responsibilities. That’s why we offer:

Debt Restructuring Plans
Loan Consolidation Assistance
CIBIL Recovery Guidance
Zero-Rejection Policy for Eligible Clients

With expert intervention, you can stop the cycle of minimum payments and start clearing your actual dues—smartly and efficiently.


📞 Reach Out Today for a Free Credit Check & Consultation

Stop the stress. Start the solution.

👉 Connect with Shivafinz now and take the first step toward debt freedom.



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