On March 5, 2024, the Consumer Financial Protection Bureau (CFPB) finalized a rule intended to limit late payment fees on credit cards issued by the largest credit card issuers. The final rule amends Regulation Z, reducing safe harbor late fee amounts for large card issuers from $30 to $8 and eliminating automatic annual inflation adjustments. Larger credit card issuers will be required to justify late fees exceeding $8. The final rule is expected to go into effect in May 2024, 60 days from its publication in the Federal Register.
CFPB Unveils Final Rule Banning ‘Excessive’ Credit Card Late Fees
