Reader’s Question:

I know that I have been mailing in my credit card payment on time, but the bank says it usually arrives late. I still prefer sending out payments in the mail, but with the late fees accumulating, I need to reconsider other payment options. Can you help me out on how avoid late fees and interest?

Jonathan

Columbus, OH

Yes, credit card interest rates and fees are on the rise. Before, credit card providers used to charge a late fee only if you were late by a full billing cycle. But now, you may provoke a fee even if you are just a day late. But if you have a clean track record, if you think you would be late, a phone call may be all it takes to waive the charge as a courtesy to customers with good payment history.

These can be your guidelines to avoid late fees and interest:

  • Follow your card issuer’s payment rules precisely- To ensure that your payment gets credited immediately, it’s a good idea to mail your payment at least one week in advance of the due date. If your credit card bills are due at a time of the month when you’re running low on cash or before your pay date, many card issuers will let you set or move your own due date — if you ask. This will help you manage your finances each month.
  • Pay minimum immediately- It is also a safe strategy for those who sends a card payment by snail mail to pay the bill as soon as it arrives, even if you can only make the minimum payment. Another great way to guard against late fees is to give your issuer the 2 percent minimum payment it requires as soon as possible and you can always send a bigger payment when you’ve got more cash.
  • Payment options - Other ways to pay would be paying your bills online, paying over the phone, via express mail or wiring the payment. Just make sure that you send payment with proper postage to the payment address requested by the card provider.

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