The minimum amount due on credit cards is a small fraction of the outstanding bill, usually around 5 to 10 percent after RBI setting the new rule. By paying the minimum amount, cardholders don't have to pay the late payment charges and can keep the credit card active for further use. However, carrying forward the balance by paying only the minimum amount due can increase your debt burden. Banks levy interest on the unpaid amount, which can go over 40% p.a. for some credit cards. Any new transactions you make with the credit card will also attract these interest charges, till the time you do not pay off the entire outstanding balance.