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Credit card balances, limits, and fees

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I am wanting to know if anyone knows how much a credit card company can charge me in over the limit and late charge fees when the credit card limit is exceeded. My credit limit on my card is $250.00 and I have made the minimum payments but they keep charging me over the limit fees. Even though the card has a credit limit of $250.00 the outstanding balance is now over $900.00. Can they continue to do this to me or do I have some legal recourse? I only charged around $160.00 on the card itself. The rest is from fees and interest. Most of it is from fees. Can they make me pay this much? Any help would be appreciated.


Senior Member
Bad news...

What on earth makes you think they CAN'T charge you that much ???? Read your credit card agreement, its all spelled out there.

You only charged $160 on the card, but apparently you didn't PAY them for that, so they charged you late fees and finance charges, right ? They kept charging you late and finance charges until you went over the limit, they they tacked on the over-limit fees.

They are going to continue to tack on the over-limit fees, late fees and finance charges, probably upping your rate repeatedly as well, until you pay down the balance BELOW the $250 limit, plain and simple.

Unless you can PROVE that they are pyramiding these fees, which IS illegal, then you have NO recourse but to pay the bill to make it stop, otherwise it keeps spiraling up !


A story...

About a year ago my daughter had a Capital One "student" card which my ex-husband had to sign a "personal guarantee" for because she was under 18. It also had a $200 limit. The maximum "real" balance for Purchases was never more than $150. I know because I saw her bills. The first month she paid the balance in full - I think it was around $30. The month she charged around $120 for clothes. When the bill came she paid just above the minimum probably around $25 but she sent it on the date the bill was due. The next bill did not have her $25 payment on it naturally so they tacked on a late fee. She then sent Cap One on time this time just over the minimum plus the full amount of the late fee. The next bill she received not only did not have her "on time" check posted, but they tacked on another late fee. I said to call and complain which she did. I was present when she made the call. Cap One said they'd record credit the "on time payment" and remove the late fee. They never did either thing, so by the next bill they added "over limit fees". This time I took over. The day her statement arrived, *I* paid the balance in full (it wasn't worth the hassle at the time to dispute the bill) and had my daughter write a letter under my guidance that her bill was paid in full, enclosed a copy of the check, and the credit card which she had cut in half. Never heard from them again.

The moral of this story, well several morals actually: my daughter learned to pay her bills on time and does not want another credit card at this time. In addition, what you described sometimes DOES happen. So if you have any reason to believes the bill + late/over limit fees is wrong, it might be worth sending a certified letter disputing these amounts, especially if you have record of payments. If the CC amount is accurant , however, you'll have to bite the bullet and follow Ladynred's advice.


Senior Member
For $160 to become $900, it sounds like this card is in default. If so, you're dealing with another set of problems. How long since you made a minimum payment?

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