Published on July 27, 2016 3:07 pm, by Jen Bakker
Today ANZ won in the High Court against the class action by their customers to have tens of millions of dollars in credit card late fees paid back.
Unlike today’s ruling, at trial in 2014, the fees were labelled as “extravagant and unconscionable” by one judge. At today’s High Court ruling it was said that the fees were not unfair, but rather they were an expense that customers choose to risk paying as it’s more convenient than paying their bills on time.
This is a timely reminder that late fees will be charged when you don’t pay your credit card account on time, and that there are ways to set yourself up to make sure it doesn’t happen to you.
Late payment fees: what they cost
Late payment fees are charged when you don’t pay your minimum due amount by the due date on your statement. The amount varies with fees from $9 to $35 charged across different institutions.
Late payment fees sting! They are money for nothing. Why pay them when with a few simple measures you can make your payments on time and put that money in to savings instead?
Late payment fees: how much do you pay?
Identifying how much you’ve paid in fees is as simple as checking your spending reports in MoneyBrilliant. The total fee amount for the period will be displayed, and you can click on it to get a breakdown of amounts and dates.
Bank fees: how to avoid them
By using Alerts in the app, you can be notified when your balance falls below an amount of your choosing. You can be alerted if you are charged a fee. You can be reminded that you have a bill (or credit card payment) due.
On your mobile device use Safe Spending to help manage your spending. By having your bills “taken out” before you spend, you will be able to spend without stress and have the money left to meet your commitments.
At MoneyBrilliant we can help you avoid fees and you can put that money in to your savings. Depositing just $25 a month in to an account paying 2.00% compound interest over 10 years will give you $3,354. Better in your pocket than the banks.
What are you waiting for? Head to MoneyBrilliant and set up your alerts.
Jen is an experienced banking professional who loves wine, coffee, finding a bargain and of course her three beautiful children. Since Jen's first budget led her to buy a home at 20, Jen has passionately helped others to make better decisions with their money.