Tool · Calculator
What does carrying a balance actually cost?
UAE issuers quote interest by the month, and the minimum payment shrinks as the balance does. Enter a balance and see how long the minimum takes to clear it, what that costs, and what a flat payment would save.
How to read this
These are estimates from the rate and rule you set. Your statement's figures decide: banks round differently, charge interest from the transaction date once a balance is carried, and add late-payment and cash-advance charges this tool leaves out. Paying in full by the due date costs nothing at all.
What it costs
Interest accrues on the opening balance each month, your payment lands, and the rest carries. Estimates from the rate and rule you set; your statement decides.
- Time to clear
- 11 yr 9 mo
- Total interest
- AED 19,980
- Total paid back
- AED 29,980
- First payment
- AED 500
If you paid a flat AED 500 every month instead
Clears in 2 yr 11 mo with AED 7,452 of interest — AED 12,528 less than the plan above.
Show the month-by-month schedule
| Month | Opening | Interest | Payment | Closing |
|---|---|---|---|---|
| 1 | AED 10,000 | AED 349 | AED 500 | AED 9,849 |
| 2 | AED 9,849 | AED 344 | AED 492 | AED 9,700 |
| 3 | AED 9,700 | AED 339 | AED 485 | AED 9,554 |
| 4 | AED 9,554 | AED 333 | AED 478 | AED 9,410 |
| 5 | AED 9,410 | AED 328 | AED 470 | AED 9,267 |
| 6 | AED 9,267 | AED 323 | AED 463 | AED 9,128 |
| 12 | AED 8,459 | AED 295 | AED 423 | AED 8,331 |
| 24 | AED 7,047 | AED 246 | AED 352 | AED 6,941 |
| 36 | AED 5,871 | AED 205 | AED 294 | AED 5,783 |
| 48 | AED 4,891 | AED 171 | AED 245 | AED 4,818 |
| 60 | AED 4,075 | AED 142 | AED 204 | AED 4,014 |
| 72 | AED 3,395 | AED 118 | AED 170 | AED 3,344 |
| 84 | AED 2,828 | AED 99 | AED 141 | AED 2,786 |
| 96 | AED 2,356 | AED 82 | AED 118 | AED 2,321 |
| 108 | AED 1,963 | AED 69 | AED 100 | AED 1,931 |
| 120 | AED 1,503 | AED 52 | AED 100 | AED 1,456 |
| 132 | AED 809 | AED 28 | AED 100 | AED 738 |
| 141 | AED 66 | AED 2 | AED 68 | AED 0 |
First six months, then each anniversary, then the final month.
Methodology
Where the defaults come from
The default rate, 3.49% a month, is the median of the 21 cards in our data that publish a monthly rate. It is not a typical figure typed in by hand; it moves when the data does.
The default minimum-payment rule, 5% of the balance or AED 100, whichever is higher, is the most common rule among the 8 cards that publish one: 5 of 8 state that percentage and 5 of 6 that floor. The rule is read from each card's wording by a fixed pattern, never by a language model; a wording the pattern cannot read is left out rather than guessed.
The arithmetic
Each month: interest is the opening balance times the monthly rate; the payment is the greater of the percentage and the floor (or your fixed amount); the closing balance is opening plus interest minus payment. The final payment is clamped to what is owed. A payment that does not beat the month's interest is reported as never clearing rather than run for fifty years.
The annual figure banks quote is the monthly rate times twelve. The compounded figure, (1 + r)12 − 1, is what the same rate costs over a year if nothing is paid; both are shown.
The cards behind the default
| Card | Monthly | Annual, as quoted | Published minimum payment |
|---|---|---|---|
| DIB Consumer Cashback Reward Card Dubai Islamic Bank | 3.25% | 39.0% | — |
| Emirates NBD LuLu 247 Platinum Emirates NBD | 3.25% | 39.0% | — |
| Emirates NBD SHARE Visa Infinite Emirates NBD | 3.25% | 39.0% | — |
| Emirates NBD SHARE Visa Signature Emirates NBD | 3.25% | 39.0% | — |
| Emirates NBD Skywards Infinite Emirates NBD | 3.25% | 39.0% | — |
| Emirates NBD Skywards Signature Emirates NBD | 3.25% | 39.0% | — |
| Emirates NBD U by Emaar Infinite Emirates NBD | 3.25% | 39.0% | 5% of outstanding balance or AED 100, whichever is higher |
| Liv Cashback+ Credit Card Liv | 3.25% | 39.0% | — |
| Wio Credit (Mastercard World) Wio Bank | 3.25% | 39.0% | — |
| Emirates NBD Go4it Gold Emirates NBD | 3.49% | 41.9% | — |
| Emirates NBD Go4it Platinum Emirates NBD | 3.49% | 41.9% | — |
| Emirates NBD LuLu 247 Titanium Emirates NBD | 3.49% | 41.9% | — |
| Liv Cashback Credit Card Liv | 3.49% | 41.9% | — |
| Citi Cash Back Credit Card Citibank | 3.50% | 42.0% | Higher of AED 100 or 2.74% of the statement balance |
| RAKBANK World Credit Card RAKBANK | 3.65% | 43.8% | 4% of the outstanding balance or AED 100, whichever is higher |
| Emirates Islamic Switch Cashback Credit Card Emirates Islamic | 3.69% | 44.3% | 5% of the outstanding balance or AED 100, whichever is higher |
| Emirates NBD Voyager World Credit Card Emirates NBD | 3.69% | 44.3% | — |
| HSBC Live+ Credit Card HSBC | 3.69% | 44.3% | — |
| ADIB Cashback Visa Covered Card Abu Dhabi Islamic Bank | 3.75% | 45.0% | 5% of the present balance (plus any installment or balance-transfer amount), minimum AED 100 |
| CBD One Credit Card Commercial Bank of Dubai | 3.85% | 46.2% | 5% of the statement balance |
| Mashreq Cashback Credit Card Mashreq | 3.85% | 46.2% | 5% of the statement balance |
Islamic cards publish a profit rate rather than an interest rate; where our data holds one it is applied the same way arithmetically, and the card's own page says which it is.
What this calculator does not do
- Promotional or balance-transfer rates, installment plans, and the fees on them.
- Late-payment fees, over-limit fees and cash-advance charges, all of which add to the cost.
- New purchases added while a balance is carried, which usually accrue from day one.
- Your credit report. Missed payments are recorded by the Al Etihad Credit Bureau; this page cannot see them.