Credit Card Minimum Amount Due by Bank in the Philippines

If you have a credit card, you’ve probably noticed a line on your billing statement called the Minimum Amount Due (MAD). This is the smallest amount you need to pay before the due date to keep your account in good standing and avoid late payment fees.

However, paying only the minimum amount due can be expensive in the long run. While it prevents your account from becoming delinquent, the unpaid balance continues to accumulate interest charges, which can make your debt grow over time.

In this guide, we’ll explain what the minimum amount due means, how banks calculate it, and the minimum payment requirements of major banks in the Philippines.

What Is the Minimum Amount Due?

The minimum amount due is the lowest payment a credit card holder must make by the statement due date.

Think of it as the amount your bank requires to keep your account current. As long as you pay at least this amount on time, you generally won’t be charged a late payment fee.

For example:

• Total Statement Balance: ₱20,000
• Minimum Amount Due: ₱850

If you pay ₱850 before the due date, your account remains current. However, the remaining ₱19,150 will still be subject to interest charges if you do not pay it in full.

This is why financial experts usually recommend paying the entire statement balance whenever possible.

Why Do Banks Have a Minimum Amount Due?

Credit card issuers understand that cardholders may occasionally face financial difficulties. Instead of requiring full payment every month, banks allow customers to make a smaller minimum payment.

This provides flexibility and helps cardholders avoid immediate penalties.

The minimum amount due serves several purposes:

• Keeps your account from becoming past due
• Helps maintain your credit standing
• Prevents late payment fees when paid on time
• Allows banks to continue collecting payments on outstanding balances

While convenient, minimum payments should be viewed as a temporary solution rather than a long-term repayment strategy.

How Is the Minimum Amount Due Calculated?

There is no single formula used by all banks.

Depending on the bank, the minimum amount due may be calculated as:

• A fixed percentage of your total outstanding balance
• A fixed peso amount, whichever is higher
• A combination of interest charges, installment dues, and past due amounts
• The full amount of any overlimit balance

For this reason, two cardholders with the same balance may have different minimum payment requirements depending on their bank and card type.

Always refer to your monthly statement for the exact amount due.

Minimum Amount Due by Bank

The following table summarizes the minimum amount due policies of major Philippine banks based on their published credit card terms and conditions.

Bank	Minimum Amount Due
BDO*	3% of the total outstanding balance or ₱850 (whichever is higher) + 3% of installment amortizations + any excess of the approved credit limit + all past due amounts. New transactions posted will be included in the computation if the account is past due
BPI	3.57% of the total outstanding balance
Metrobank*	(3.5% x total outstanding balance) + any excess of the approved credit limit + all past due amounts)
RCBC*	(3% x total outstanding balance) + any excess of the approved credit limit + all past due amounts, or ₱500, whichever is higher. If MAD is between ₱500 and ₱1,000, MAD will be rounded down to the nearest ₱100. If MAD is between ₱1,000 and ₱3,000, MAD will be rounded down to the nearest ₱500. If MAD is above ₱3,000, MAD will be rounded down to the nearest ₱1,000.
Security Bank*	3% of total outstanding balance or ₱500 (whichever is higher) + any excess of the approved credit limit + all past due amounts
EastWest	3.5% of the total outstanding balance or ₱200, whichever is higher
UnionBank*	(4% of total outstanding balance + any excess of the approved credit limit + all past due amounts) or ₱400, whichever is higher
PNB	PNB Ze-Lo: 2.5% of total outstanding balance or ₱500 (whichever is higher) + any excess of the approved credit limit + all past due amounts Other PNB cards: 3% of total outstanding balance or ₱500 (whichever is higher) + any excess of the approved credit limit + all past due amounts
HSBC Philippines	(1% of total outstanding balance + 1/12 of annual fee, if applicable + any excess of the approved credit limit + all past-due amounts + finance and late payment fees) or ₱1,500, whichever is higher
Maybank	5% of the total outstanding balance or ₱500, whichever is higher

*Total outstanding balance excludes past due and overlimit amounts.

What Happens If You Pay Only the Minimum Amount Due?

Many cardholders mistakenly believe that paying the minimum amount due means they have avoided all charges.

In reality, you may still incur interest charges on the unpaid portion of your balance.

Consider this example:

• Statement Balance: ₱50,000
• Minimum Amount Due: ₱1,500
• Payment Made: ₱1,500

Although you’ve met the bank’s payment requirement, ₱48,500 remains unpaid.

The bank may charge interest on this remaining balance, causing your debt to grow if you continue making only minimum payments.

Over time, this can result in paying significantly more than your original purchases.

Minimum Amount Due vs Total Amount Due

New credit card users often confuse these two amounts.

Here’s the difference:

Term	Meaning
Minimum Amount Due	Smallest amount required to keep account current
Total Amount Due	Entire statement balance for the billing cycle

Paying the total amount due is generally the best option because:

• No revolving balance remains
• Interest charges can be avoided
• Debt is cleared faster
• Credit utilization stays lower

Paying only the minimum amount due provides short-term flexibility but usually increases borrowing costs.

Minimum Amount Due vs Late Payment Fee

These terms are related but different.

The minimum amount due is the amount you must pay before the due date.

A late payment fee is a penalty charged when you fail to make the required minimum payment on time.

For example:

• Minimum Amount Due: ₱850
• Due Date: June 20
• Payment Made: ₱0

Because the minimum amount due was not paid by June 20, the bank may impose a late payment fee.

You can learn more in our guide to late payment fees by bank, where we discuss the penalties charged by different issuers.

Minimum Amount Due vs Credit Card Interest

Another common misconception is that the minimum amount due includes all interest charges.

These are actually different concepts.

The minimum amount due is simply the required payment to keep your account current.

Credit card interest is the cost of borrowing money when you carry a balance beyond the billing cycle.

You may pay the minimum amount due and still be charged interest on the remaining balance.

For a detailed explanation, see our guide on credit card interest rates in the Philippines.

Is It Bad to Pay Only the Minimum Amount Due?

Not necessarily. There may be situations where paying only the minimum amount due is better than missing a payment entirely.

Examples include:

• Temporary cash flow shortages
• Medical emergencies
• Unexpected expenses
• Short-term financial difficulties

However, making minimum payments month after month can lead to:

• Higher interest costs
• Longer repayment periods
• Growing debt balances
• Reduced financial flexibility

Whenever possible, try to pay more than the minimum amount due.

Even paying a few thousand pesos above the minimum can significantly reduce interest costs over time.

Tips to Avoid Carrying a Large Credit Card Balance

Responsible credit card use can help you avoid relying on minimum payments.

Consider the following practices:

• Pay your statement balance in full whenever possible.
• Set up payment reminders before the due date.
• Avoid spending more than you can repay.
• Monitor your monthly transactions regularly.
• Use installment plans carefully.
• Create a budget to manage expenses.

Small habits can make a big difference in keeping your credit card debt under control.

Related Credit Card Fees You Should Know About

The minimum amount due is only one of several important terms that may appear on your credit card statement. Understanding how these charges and requirements work can help you manage your credit card more effectively and avoid unnecessary costs.

Some of the most common credit card terms and charges include:

Credit Card Interest Rates

Interest charges apply when you carry an unpaid balance from one billing cycle to the next. Unlike late payment fees, interest is calculated based on the amount you owe and how long the balance remains unpaid.

Read next: Credit Card Interest Rates in the Philippines

Credit Card Annual Fees

Many credit cards charge an annual membership fee for maintaining the account. Some cards waive this fee permanently, while others offer waivers if you meet certain spending requirements.

Read next: Credit Card Annual Fees by Bank

Late Payment Fees

A late payment fee is a penalty charged when you fail to pay at least the minimum amount due by the payment deadline. The exact fee varies by bank, but repeated late payments can increase your overall debt and may negatively affect your credit standing.

Read next: Late Payment Fees by Bank in the Philippines

Credit Card Grace Period

A grace period is the time between your statement date and payment due date. Understanding how grace periods work can help you avoid paying interest altogether.

Read next: What Is a Credit Card Grace Period?

Frequently Asked Questions

Does paying the minimum amount due affect my credit score?

Paying at least the minimum amount due on time generally helps you avoid delinquency. However, consistently carrying large balances may still affect your credit profile.

Will I be charged a late payment fee if I pay the minimum amount due?

Generally, no. As long as the minimum amount due is paid before the due date, late payment fees are usually avoided.

Can I pay more than the minimum amount due?

Yes. In fact, paying more than the minimum amount due can reduce interest charges and help you pay off debt faster.

Is the minimum amount due the same every month?

Not necessarily. It usually changes depending on your outstanding balance, interest charges, installment dues, and other factors.

What happens if I miss the minimum payment?

Your bank may impose a late payment fee, charge interest, and report delinquent payments according to applicable policies.

Final Thoughts

The minimum amount due is the smallest payment your bank requires each month to keep your credit card account in good standing. While paying it can help you avoid late payment fees, it does not eliminate your debt and may still result in interest charges on the remaining balance.

For most cardholders, the best approach is to pay the full statement balance whenever possible. If that’s not feasible, paying more than the minimum amount due can help reduce interest costs and allow you to become debt-free sooner.

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