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Wasn't there a requirement for the minimum credit card payment to payoff the balance in a reasonable amount of time?

Having run some major expenses through my credit card this month, I was surprised that the minimum payment was 1%. No interest or fees this month. At that rate, it would take decades to pay off.


Not exactly. The CARD Act of 2009 requires credit card issuers to disclose to customers how long it would take to pay off the balance if they only make minimum payments, and how much they would need to pay monthly if they want to pay off the balance in 36 months.

A common minimum payment amount is any fees and interest charged during the month, plus 1% of the principal - it sounds like that's the minimum payment calculation that your issuer uses.

AJ
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