How to Avoid Credit Card Fees
Interest and late fees (the big ones)
The costliest fee is interest, and it is fully avoidable: pay your statement balance in full each month and you stay in the grace period with zero interest. Late fees are just as avoidable with autopay for at least the minimum, which also protects your credit. These two habits eliminate the fees that cost the most.
Annual and foreign transaction fees
An annual fee is worth paying only if the card credits and rewards exceed it for how you spend; otherwise choose a no-annual-fee card (see are annual fees worth it). For travel, carry a card with no foreign transaction fee to avoid the roughly 3 percent surcharge abroad, and always pay in local currency.
The fees to simply skip
Some fees are best avoided by not using the feature: cash advances stack a fee plus immediate interest, and a balance transfer fee only makes sense when a 0 percent offer saves more than the fee costs. Know your penalty APR too, and read credit card fees explained for the full list.
Frequently asked questions
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