does minimum payment affect credit score

Paying only the minimum amount due on your credit card does not immediately damage your CIBIL score, as it avoids late payment reporting. However, it can negatively affect your score over time. Consistently carrying a high outstanding balance by only paying the minimum significantly increases your credit utilisation ratio. Since a high utilisation ratio signals greater financial risk to lenders, maintaining this habit over several months can lower your CIBIL score. It is always recommended to pay the full amount due.