subject: Fees for Return Payment [print this page] Fees for Return Payment
One big fee that many people end up paying is called the Return Payment Fee. What this fee means is if you try to make a payment on a debt like a credit card, car payment or a mortgage and the payment is returned because you don't have enough funds, you will pay a fee. Usually the fee is thirty nine dollars for a credit card but can be more for other debts.
This fee could be the least of your problems though. In the case of a credit card if you have a returned payment you will also be subject to interest and your interest rate might be increased if they consider you a risk. If this happens you might find yourself spiraling deeper and deeper into debt. If you have a serious problem you should seek help.
Ways to Help Avoid this Fee
1. Don't use your ATM statement as an accurate source of how much money you have in your account. Yes it maybe correct at that time you get the statement, but you may have made other transactions that haven't cleared yet.
2. Keep your checkbook up to date. It can be pretty boring and tedious especially if you have direct deposit and automatic online bill payment. But it is essential to do. What I do is I set a side some time on a Sunday evening and go over my direct deposit slips and check my bank account online for payments.
3. Make a budget so you know how much you can spend while shopping each month.
If you do get charged for this fee let it be a learning experience and don't dwell on it. I know I've missed a payment every now and then and no one is perfect.
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