Because just paying the minimum can be very expensive.
The minimum payment (or the minimum instalment) is the minimum portion of the credit card balance that must be paid each month.
If you only pay that amount, you're in "good standing," but in the long run, it gets very expensive! You'll be reimbursing that debt for a long time. You'll pay a high cost in credit charges, including a lot of interest.
Here is how the portion of the balance paid each month affects credit charges.
A $1,000 purchase with a credit card at 19.9% reimbursed on time each month:
| Percentage of the balance paid each month | Total credit charges | Time required to pay everything off |
|---|---|---|
| 100 % | $0 | - |
| 50 % | $34 | 8 months |
| 5 % | $442 | 6 years |
There are solutions.
You can turn to consumer associations. Some of them offer budget consultation services free of charge: tips on managing your personal finances, settling your debts, etc.
Find a consumer association (in French only)
It might also be possible to work out an agreement with the credit card issuer. Contact them.
As of August 1, 2025, the minimum payment provided for in your contract may not be less than 5% of the balance owing. This percentage was previously set at 4.5% for all contracts entered into before August 1, 2019.
The credit card issuer may charge more than 5% if the contract already provided for that possibility, but not if the issuer amended the contract in order to charge more than 5% without your consent.
If you are applying for a credit card, you must set the credit limit yourself as of August 7, 2025. Determine the amount you can pay off each month. This amount should cover your entire balance, not only the minimum payment required. The credit card issuer cannot grant you a higher limit than the one you set yourself.
Once your credit limit has been set, the issuer cannot increase it, unless you clearly ask them to do so. If, over the course of a month, you exceed this limit, the issuer must notify you to authorize this extra amount. Keep an eye on your expenses!
Take a look at your account statement! You will see an estimate of the time it will take to reimburse everything if you only make the minimum payment. You will also find your card's credit rate. Do you know how high it is?
Consult other resources offered by the Office de la protection du consommateur:
