A minimum payment on a credit card is usually the higher of a small fixed amount (often £5 or £25) or a percentage of the balance (typically 1%–3%). It's set low on purpose — to keep the account in good standing without the lender losing income from interest.
The catch is that most of a minimum payment is swallowed by interest and fees. Only a small slice reduces what you actually owe. On a £3,000 balance at 22% APR, paying only the minimum can take over 20 years to clear and cost more in interest than the original debt.
If you can only afford the minimum, focus first on stopping new spending on the card, then look at options such as balance transfers, an arrangement to freeze interest, or a Debt Management Plan. A short conversation with a free debt help service can save years of payments.
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