Some users find that a late payment fee appears on their credit card bills, but they don’t know what the late payment fee is. In fact, late payment fees are penalty interest fees charged by credit card users when the repayment amount does not reach the minimum repayment before the due date. Generally speaking, late payment fees are charged based on 5% of the unpaid portion, and the bank will also charge an interest of 0.5% on the late payment fee every day. Therefore, if the cardholder does not discover his late payment fees in time, the fees may compound and cause very high fees. It is worth noting that as of January 1, 2017, the People's Bank of China has canceled credit card late payment fees. However, the cancellation of late payment fees does not mean that cardholders do not need to bear any penalty if they do not repay on time after consumption. After canceling the late payment fee, if the cardholder fails to repay the minimum payment as required before the repayment date, the bank will agree with the cardholder through an agreement on the standard and collection method of liquidated damages for failure to repay on time. How to Calculate Late Payment Fees for Credit Cards? Before January 1, 2017, if a credit card holder failed to repay the minimum repayment amount on time before the repayment date, the bank would need to charge the cardholder the corresponding late payment fees. So how was the late payment fee calculated? ? Generally speaking, late payment fees are charged based on 5% of the minimum unpaid portion, with a minimum of 10 yuan, and the bank will also charge penalty interest on the cardholder's default repayment at an interest rate of 0.5%. For example, the cardholder's current credit card bill is 10,000 yuan, then the minimum repayment amount is 1,000 yuan, and the user only returned 500 yuan to the bank that month, so the late payment fee is: (1000-500) * 5 = 25 yuan. If the cardholder fails to settle the late payment fees of the previous period in one billing cycle, the late payment fees and interest of the previous period will be included in the principal of the current period and recalculated in the next billing cycle, which will add up to the amount. . How to pay back late payment fees on credit cards? Currently, the country has canceled late payment fees and replaced them with liquidated damages. However, whether it is late payment fees or liquidated damages, when users use credit cards, the fees incurred if they fail to pay the minimum repayment on time can be settled in the next bill at once. It should be noted that when repaying a credit card bill, the current bill will generally be repaid first, and then the liquidated damages part. Therefore, for the sake of insurance, when users want to settle their liquidated damages, they can settle all the credit card bills at once. The amount of debt owed.