Credit payments made on due date, charged a late fee due to time difference. Unfair. Suggestions for action?

Question

How is it that people on the West Coast can be charged a late fee, even though their payment is paid on the DUE DATE, just because the credit card companies on the East Coast want their payment before their lunch break?? This has to stop and is very, very unfair.

Answer 1

I am sure when you contact them on this issue and you do not a history of paying late then they reverse the late fee at least the first time. However, keep in mind that in the credit card agreement it typically states that the cardholder is responsible for insuring the payment is made allowing sufficient time for "processing" including time for electronic and regular mail. Look on the back of the statement, in most cases it states the time zone requirements for that individual creditors. Unfortunately, if they post the payment in their time zone and it is late there, they can and most often will charge a late fee. I put a website below for the Federal Trade Commission that goes over your rights regarding this issue and where you can file a compliant if you need to.
Hope it helps.

Answer 2

Depend on what time you paid. If you pay your personal Bank of America credit card account from a Bank of America checking or savings account any funds transferred as a payment to the credit card account before 11:59 p.m. Eastern Time, including weekends and holidays, will be credited with the date the payment is made. However, updates to account balances and funds availability may take up to 2 bank business days There is no fee to make a payment by phone using a Bank of America account. However, there is a $15.00 fee if you use an account from another financial institution to make a payment by phone.

Answer 3

This is actually illegal. A law was recently passed that states the cc company must post payments by midnight (well, 11:59 pm) on the date they are received. If the payment posts at 11:59 on the exact due date, it is not considered late.

I'd check into your credit card agreement and read the section about posting payments. Unless they (the cc company) is in a state that has no regulations about that, they can't do that to you.
Good luck!

Answer 4

This is not the first time I've heard of this. Credit card companies are having a harder time making money because 1) more people are defaulting on their loans/credit cards and 2) interest rates have been so low for so long. They have creatively invented ways to make more money, charging bogus fees and making complex rules no one can follow. Your best course of action is to pay off the card and use cash only. I haven't paid any bogus fees since we started doing this (I haven't paid any interest, either).

Answer 5

Your payment must be posted to your account by the end of the business day on the date that it is due or before or you are late.

Answer 6

Did you credit card company state it needed to be in at a specific time? If not, I would write a letter and send it certified. My credit card companies have due dates not due dates and times.

If they do not reverse it, I would cancel the card and get one someplace else. There are plenty who have excellent cust. svc.

Answer 7

Some companies consider as early as 9am the cutoff for that date. Read your card agreement.

Answer 8

Try calling and talking to them.

Answer 9

if its post marked on or before the due date ur ok

Answer 10

stop waiting till the last moment to pay your bills.