Newtons Thoughts

One thing that has always irked me to no end is the size of the credit card late fees that companies imposed on their customers for getting the payment in late. I do know that it's important to get your payment on time but does it really have to be such a large charge to the consumer. I mean, these late fee charges are just exorbitantly high for what they cost the credit card companies I'm sure.

One really easy way to keep from having to pay late fees is by setting up automatic payments using the minimum amount. Whenever you accidentally miss your credit card payment at the end of your cycle, this automatic payment system will simply pay your minimum amount for you. You don't want to get into the lazy mode of living this payment system pay your credit card because paying the minimum requirement is stupid. If you resorted to doing this every month, it would take you many years to pay off your current balance on average for the most common credit card holder.

One thing to keep in mind is that setting this automatic way of paying your credit card every month is only a catchall function. You still should be paying your credit card your self even though you have set up this system of paying the minimum payment. What happens is that if you forget your payment, the system will be enacted.

Let's look at an example. Let's say that I usually make my payment on time whether it be paying the full balance or paying an amount much more than the minimum payment. So we are coming up on a time may be in the summertime where I'm on vacation and I simply forget to pay my credit card. If I had not enacted this automatic system to pay my credit card, my company would have charged me a late fee of some amount likely $35 or more. This nice money amount could have been used for an evening out with my spouse. Maybe I could have got pizza for the whole family instead of paying this stupid fee to the credit card company.

I think we all know that the credit card company really is not being fair in charging this amount of money but since we agreed in the beginning to abide by the credit card companies rules, they have the right to charg us. Therefore, try to take advantage of these automatic payment systems that they have for the consumer.

Don't get me wrong, I still think credit cards are a great deal for most consumers. I really do like the convenience of being able to use my credit card in various places without fear of losing a lot of money as in the case of having cash or using a debit card. With a credit card you are only liable up to $50 for any unauthorized purchases made with your credit card. I think that's a great deal.