Credit Card Minimum Payment
If you are only making the required minimum payments on your credit cards you will never get that debt paid off. Even making more than the minimum payment may not be good enough to reduce your debt in a reasonable period of time. The reason is that most people will spend more on their credit cards every month then they will apply to payment of their balances.
The estimated time for paying off credit card debt with the minimum payment will take the average person 20-30 years due to the accumulating interest every month. Paying the minimum is not the way to get out of debt but rather a way to keep people in debt.
Credit card companies have been able to increase their revenues primarily due to high card balances (with only the minimum monthly payment being made), over the limit fees and late fees, The minimum payment percentage has been a disservice to most consumers with high balances and has enabled the credit card companies to keep you in debt.
