1. What is American Express Minimum Payment?

The American Express minimum payment is the lowest amount you must pay each month to keep your account in good standing. It's calculated as the greater of $35 or 2% of your current balance.

2. How Does the Calculator Work?

The calculator uses the American Express minimum payment formula:

Where:

• $35 — Absolute minimum payment amount
• 0.02 — 2% of the current balance
• Balance — Your current credit card balance

Explanation: The calculator compares 2% of your balance with $35 and selects whichever amount is higher as your minimum payment.

3. Importance of Minimum Payment Calculation

Details: Understanding your minimum payment helps with budgeting and avoiding late fees. However, paying only the minimum will result in paying more interest over time.

4. Using the Calculator

Tips: Enter your current balance in USD. The calculator will show you the minimum payment required by American Express.

5. Frequently Asked Questions (FAQ)

Q1: Is the minimum payment always 2% of my balance?
A: No, it's the greater of $35 or 2% of your balance. For balances under $1,750, the minimum will be $35.

Q2: What if my balance is less than $35?
A: If your balance is less than $35, you must pay the full balance.

Q3: Does paying the minimum avoid interest charges?
A: No, interest will still accrue on the remaining balance unless you have a 0% APR promotional period.

Q4: Can the minimum payment change?
A: Yes, it changes with your balance. Also, American Express may adjust terms, so check your card agreement.

Q5: Is it bad to only pay the minimum?
A: While it keeps your account in good standing, it leads to more interest paid over time. Paying more than the minimum is recommended.