How To Avoid Late Credit Card Payment Fees

How To Avoid Late Credit Card Payment Fees

by Susmita Dutta
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Credit cards are an excellent payment method, but there are some restrictions too. If you fail to pay on time, you may need to swipe some extra bucks as a late fee. It also hurts your credit score if you delay the payment more than 30 days.

That’s why you should avoid late payments whenever possible.


How Much Late Fees Can Hurt You?

As per the consumer protection finance Bureau, each company has certain limits that can be charged as a late fee.

● $28 for the first late fees
● $39 for any future late payments within the upcoming six billing cycles

Remember that the late fees are, at most, the minimum payment set on the credit card. That means if your minimum payment is $20, your late fine fee can be at most $20.


Ways You Can Avoid The Late Fees

During our busy schedule, it’s natural to forget the time or date to pay the payment. So, follow the top 3 effective ways to avoid late payments.

– Set Up Automatic Payments

If you want to ensure on-time payment for every month without interruption, set the automatic payment system. Your credit card payment will be automatically debited from your bank account. You must set the specific amount you want to withdraw from your account.

But make sure your bank must have sufficient balance to cover the auto-debit; otherwise, you could rack up overdraft charges.


– Set Up Calendar Reminders

If you don’t find automatic payments suitable, try the calendar reminder. Schedule the reminder date close to your payment due date; you will get a notification sent directly to your phone. It’s a great way to avoid a late fine.


– Change Your Payment Date

If you cannot pay the due on time, then the best option is to change the payment date. Visit your online credit card website and call the number mentioned on the back of the credit card. It will help you to avoid late credit card charges.


Locate The Late Fee Warnings In The Fine Print

Do you want to know how much your credit card charges as a late fine? Pay a visit to the fine print. You will get your credit card statement via mail; there, you will notice every piece of information about your late fees.

All the necessary information will be mentioned on the first page of your statement under the headline “Late Payment Warning.”


How To Appeal A Late Fee

What if you accidentally miss a payment? First, you should make the payment as soon as possible. Then call the issue to check whether the late fee can be removed from your account.

Many customers must be aware that they can appeal a credit card late fee if it is their first due payment.


The Bottom Line

Using the tricks mentioned above, you can avoid late credit card payments. But make sure not to make it a habit of making late payments. Manage everything, keep in sync with your due dates, and take practical moves to protect your credit card score.

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