What is Total Outstanding in Credit Card?

Credit Card
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I want to know what is total outstanding in credit card?

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While checking your credit card statement you must have seen the term ‘Total Outstanding Amount’ staring back at you. It is the entire amount you owe to the lender (credit card issuer in your case). The total outstanding amount is calculated by adding up for:

  • Purchases you’ve made
  • Any cash withdrawals
  • Interest charges (if applicable)
  • Late payment fees (if any)
  • Previous unpaid balances

Let’s say you bought a phone for ₹80,000, paid a Netflix subscription of ₹199 and withdrew ₹2,000 in cash. Your total outstanding would be ₹82,199 and the applicable charges.

Just to warn you, banks often highlight the minimum outstanding balance for you to pay. But not paying the amount entirely in one go attracts interest which can go up to 40% annually.

This should clear up your doubts about what is total outstanding in credit card. Drop in a comment if you have more questions.