Commissions that credit cards may have in the USA

The Credit cards They are a valuable resource in those moments when you do not have liquidity and there is an emergency, a celebration or a trip. Although it is a great advantage to have it, it also carries a price that may or may not be high, depending on the management of your personal finances.

Article content

  1. Annuity (Annual Fee)
  2. Cash Advance Fee
  3. Late Payment Fee
  4. Overdraft (Overlimit Fee)
  5. Lack of funds (Returned Payment Fee)
  6. Foreign Transaction Fee
  7. Balance Transfer Fee
  8. conclusion

In this article we detail the commissions and expenses that may include the credit cards in the United States of America, although it does not mean that they will always be applied. Each bank will load the ones it deems appropriate and it is a good criterion to compare them with each other.

Frequent fees for American credit cards

Depending on the bank you have and its interest policies, credit card finance charges vary. With percentages that exceed 17%, the balance plus other charges can increase your debt considerably. That is why they insist on paying everything owed each month or a large part, to reduce your costs to a minimum.

Cash Rewards credit cardCash Rewards credit card

  • APR: 16.24%
  • Annual quota: $ 0
  • Credit limit: Consult

More infoRequestChase Freedom Credit CardChase Freedom Credit Card

  • APR: 14.99%
  • Annual quota: $ 0
  • Credit limit: Consult

More infoRequestWells Fargo Cash Wise VisaWells Fargo Cash Wise Visa

  • APR: 13.99%
  • Annual quota: $ 0
  • Credit limit: Consult

More infoRequestCiti Rewards + CardCiti Rewards + Card

  • APR: 15.49%
  • Annual quota: $ 0
  • Credit limit: Consult

More infoRequestTD Cash credit cardTD Cash credit card

  • APR: 15.24%
  • Annual quota: $ 0
  • Credit limit: Consult

More infoRequest

In this sense, you should also consider the most common commissions, such as:

Annuity (Annual Fee)

Just as there are entities that apply this commission, there are others that do not. This charge is usually associated with specific or exclusive cards that give you a series of additional benefits. If you think you really need these additional services, you can fork out from $ 50 to $ 600 dollars.

If not, you can simply choose a plastic no annuity and that adapts to the credit conditions you are looking for.

Cash advance (Cash Advance Fee)

Most of us know that TDCs can work like a debit card at automated teller machines (ATMs) or affiliated merchants. However, the possibility of getting cash in this way is one of the most expensive that exists because its interests range from 5 to 10% of the requested amount.

Before using this option, it is preferable to resort to a fast online loan, P2P or another type of financing if you need a good amount of cash. To avoid this, simply hire a credit card that does not charge you for this service.

Late payment (Late Payment Fee)

Credit card commissions in the USAOf course, every time you fall behind in a payment, you will suffer a late payment. The good news is that this commission and others like it are regulated by law.

If you have not engaged in this “misconduct” in the last 6 months before the delay, it will cost you $ 28. On the other hand, if you have done it more than 1 time during the previous 6 months, you will have to pay $ 39. It is worth telling you that this can be avoided without much difficulty and incorporating good habits to take care of your personal finances.

Overdraft (Overlimit Fee)

Also regulated by the CARD Act 2009, it is simply a charge for exceeding the assigned credit limit. It is an abusive practice that in a certain way is on the way to extinction for a very simple reason: the regulations give cardholders the right to agree to this commission during the signing of the contract, something that rarely happens.

When you do not have a good monitoring of expenses and you go overboard, there are 2 types of charges: if it had not happened to you in the previous 6 months, it is worth $ 28; If you let it happen in that time, it comes out at $ 39. As with the late payment commission.

Lack of funds (Returned Payment Fee)

When, for any reason, your credit card payment is invalid or lacks funds, you may incur a penalty. Whether it is a check that bounces or you use an account that is not active, if you do not comply before the payment date, this applies to you
fee. Like the previous ones, the charges are $ 28 (6 months without incidents) and $ 39 (more than 1 incident in the last 6 months).

Transaction abroad (Foreign Transaction Fee)

Every time you travel outside the United States and buy in another country, that costs you a percentage of the amount. This can be costly if it becomes a recurring behavior, since the interest is in the order of 2-3%. The obvious solution, in addition to spending less, is find a credit card that does not apply this commission.

Balance transfer (Balance Transfer Fee)

Given US credit conditions, you have the option of move the balance from one credit card to another that has lower interests or does not charge you. This allows you to consolidate debts to better conditions and when necessary. However, this costs you 3-5% of the amount transferred. Our suggestion: estimate if what you pay is less than what you are going to save.


There is no reason for you to be a victim of commissions that credit cards may have in the USA when you understand the importance of smart money management. This means acquiring good financial habits through experience or our advice.

It’s also about knowing how to choose the best banking products available. For this you have the help of the search engine / comparator of Hispanic Business Blog. Here you have precise information about the offers of the moment.

Leave a Reply