Credit Card Late Fee Statistics: Who Pays Most Often?

Americans paid $14.5 billion in credit card late fees in 2022, more than double what issuers earned from annual fees. Eight percent of Americans paid a credit card late fee in 2024, according to the Federal Reserve.

Late fees hit younger, lower-income, and lower-credit-score spenders most frequently, according to data from the Consumer Financial Protection Bureau (CFPB).

The typical late fee is around $32 per missed payment. For those already struggling, a single missed payment can be costly. Some of the best credit cards offer built-in protections, like autopay tools and penalty forgiveness that can help consumers avoid late fees.

Credit card late fee frequency by credit score

Credit card late fees are most common among Americans with lower credit scores. Deep subprime cardholders, who have credit scores below 580, average 3.7 late fees per year on general-purpose credit cards, which is nearly twenty times the rate of late fees that super-prime cardholders rack up.

Private label credit cards see higher late fee rates across all credit scores, but especially among lower credit score ranges.

Americans with super-prime credit scores, 720 or above, make up 30% of cardholders but only 6% of credit card late fees.

Here's the average late fee incident rate by cardholders broken down by credit score and credit card type in 2022.

Credit card late payment fee frequency by income

Low-income households pay credit card late fees at roughly 3.5x the rate of high earners, 14% versus 4%, according to survey data from the Federal Reserve.

Middle-income households aren't dodging credit card late fees either, with about 1 in 10 being hit by them.

Credit card late fee occurrences drop sharply as incomes increase.

Credit card late payment fee frequency by age

Gen Z struggles most with credit card late fees -- they are three times more likely than baby boomers to pay them, 12% to 4%.

Millennials and Gen X fall in the middle, with 9% and 8% paying late credit card fees respectively.

How much are credit card late fees?

The typical credit card late fee is $32, according to the CFPB.

The CFPB had put forward a rule that it estimated would lower credit card late fees to $8, but withdrew the rule in 2025 in response to a legal challenge to it.

How much do credit card companies make from collecting late fees?

Credit card companies collected $14.5 billion in late fees in 2022, up from $11.3 billion in 2021 and $9.9 billion in 2015, according to CFPB.

Late fees bring in the most cash for credit card companies outside of interest assessed on accounts. For comparison, credit card companies took $6.4 billion in annual fees and $4.5 billion in other fees in 2022.

Avoiding credit card late fees: Know the risks and take action

Credit card late fees can be a setback your wallet doesn't need at the end of the month. They tend to follow a pattern, too, hitting younger adults, low-income households, and sub-prime borrowers most frequently.

To reduce or eliminate late fees, set up autopay or reminders on your credit card or consider cards that waive your first late fee. Checking your credit card balance throughout the month to make sure you can cover your bill when it comes due can help avoid some unnecessary late fee pain as well.