5 Fees Your Credit Card Company Tries to Hide on Your Bill
Feb 3rd, 2008 by Wealth Builder [This post is written and copyrighted by Wealth Building Lessons (http://www.wealthbuildinglessons.com).]
Todays guest post is about optimizing your credit card expenses and making sure you don’t get hit with hidden fees.
Consumer Reports says that Americans shell out $31 billion in credit card fees every year. However, most consumers don’t even know these fees exist until they show up on their statement. Don’t let these fees sneak up on you; read about these 5 hidden credit card fees that you might be paying right now.
1. Late fees: Most people know that credit card companies impose penalties when pay your bill past your due date. Many people do not know that they are penalized when they pay their bill past a due time. If you’re late by even a minute, you may have to pay between $15 and $39.
2. Fees for not using your card: Maybe you want to put your cards to rest for a while. It’s always good to spend less, but beware of the fees your issuer may charge for not using your card. You can be fined for not charging anything to your card during a specified period of time or for not carrying a balance on your account.
3. Transfer charges: If you are considering changing over to an interest-free or low interest card because you’re having trouble with your payments, find out if there are handling fees before you make the switch. Some banks charge up to 3% of the transfer amount.
4. Overseas fees: Are you packing your credit card as you travel abroad? Most people use their credit card while traveling because it is much safer than cash. But be prepared to pay 3% more for purchases made in other countries. Two percent of the foreign transaction fee goes to your credit card issuer and one percent to the credit card company.
5. Low-interest fees: Do you have a pretty good deal with a low-interest credit card? You better make sure you are not paying an annual fee. Some credit card companies offer cards with low interest to lure you in, but you may be paying a high annual fee without knowing it.
By-line:
Heather Johnson is a freelance business, finance and credit writer, as well as a regular contributor for BusinessCreditCards.com a site for comparing business credit card offers. She welcomes questions, comments, and freelancing job inquiries at her email address heatherjohnson2323@gmail.com
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2 Responses to “5 Fees Your Credit Card Company Tries to Hide on Your Bill”
Credit card fees giving you heartache? We’re telling Congress it’s time to kiss credit card rip-offs good bye and stand up for consumers! Take a quick visit to www.creditcardreform.org – you can send a “Valentine” to your representatives and tell them it’s high time for credit card industry reforms. Consumers Union will hand deliver your cards to Congress on Valentine’s day – with your love.
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