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When you're managing debt, one of the easiest ways to save money is to stop the leaks you can’t see, and that often means spotting (and avoiding) hidden fees.
Here’s a breakdown of the most common credit-related fees, what they mean, and how to fight back.
🕒 1. Late Payment Fees
If you miss a due date, your lender can charge a late fee—typically around $25–$40. Repeat offenders may pay even more.
But that’s not all:
- It can also trigger a penalty APR, making your interest rate jump
- Late payments are reported to credit bureaus if they’re 30+ days late
Tip: If it’s your first time or you’ve been a good customer, ask for a one-time waiver, you might be surprised.
🚫 2. Over-the-Limit Fees
Some credit cards allow you to go over your limit—but they’ll charge you for it. Even going $1 over can result in a fee.
Tip: Turn off over-limit protection or set up alerts so you don’t go over accidentally.
💸 3. Returned Payment Fees
If a payment fails (like an ACH transfer that bounces), you could face a returned payment fee.
This often happens when autopay is tied to an account with low funds.
Tip: Double-check which account your autopay pulls from, and disable it if your income is inconsistent.
🧾 4. Annual Fees
Some credit cards charge $39–$95+ each year, just to have the card open. That might make sense for a rewards card, but not for something you’re not using.
Tip: If you don’t need the card and it’s charging you an annual fee, ask to downgrade to a no-fee version instead of canceling (which could hurt your credit age).
🧠 What To Do About These Fees:
- Read every statement (yes, even the fine print)
- Ask for waivers—especially if you’re calling in anyway
- Focus on debt that’s adding fees fast, like credit cards with high APR and penalties
- Consider consolidating or requesting a reduction if you’re constantly behind.
💡 How Relief Helps:
We help people request savings on overdue debt, without phone calls, negotiations, or stress. That means less interest, fewer fees, and a path forward that doesn’t involve drowning in extra charges.
⚠️ Disclaimer: Relief does not provide financial advice. The information in this article is for educational purposes only and should not be considered a substitute for professional financial guidance. Please consult a certified financial planner or advisor for personalized support.
Links to external websites are provided for convenience and informational purposes only. Relief is not affiliated with these third-party sites and does not endorse or guarantee the accuracy of their content.
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