Reuters - Video

Edition: US | UK | IN | CN | JP

video Finance Videos

Wall Street gets Fed reality check
Wall Street gets Fed reality check - 01:51
Reuters Today: Spanish yields seen rising at auction
Reuters Today: Spanish yields seen rising at auction - 06:21
Surprise services boost points to UK recovery
Surprise services boost points to UK recovery - 02:54
Breakingviews: Do as I say, not as I do – German wages
Breakingviews: Do as I say, not as I do – German wages - 05:04
Market Pulse: Spain under fire as investors shun bond sale
Market Pulse: Spain under fire as investors shun bond sale - 03:28
Myanmar's Kyat begins managed float
Myanmar's Kyat begins managed float - 01:59
ASEAN: territorial code of conduct draft by year-end
ASEAN: territorial code of conduct draft by year-end - 01:48
U.S. Morning Call: Stock futures down, JPMorgan to be fined
U.S. Morning Call: Stock futures down, JPMorgan to be fined - 02:08
EMEA Day Ahead:: Thursday
EMEA Day Ahead:: Thursday - 03:13
3XSQ: Customer funds in question; royal return
3XSQ: Customer funds in question; royal return - 05:44
Still cashing in? Hirst retrospective
Still cashing in? Hirst retrospective - 02:32
World's biggest car delivery center
World's biggest car delivery center - 02:41
FACTBOX: Titanic the movie sails again
FACTBOX: Titanic the movie sails again - 02:20
Trading at Noon: Wall St. down on lost hope for stimulus
Trading at Noon: Wall St. down on lost hope for stimulus - 02:48
Draghi holds rates, offers caution
Draghi holds rates, offers caution - 01:50
Breakingviews: Gun bubble redux
Breakingviews: Gun bubble redux - 02:51
Yahoo cuts 2,000 jobs
Yahoo cuts 2,000 jobs - 01:15
Easter egg panic in eastern Europe
Easter egg panic in eastern Europe - 01:28
Wealth Strategies: Equity rally has 3 years left in cycle
Wealth Strategies: Equity rally has 3 years left in cycle - 06:05
Congressional insider trading ban
Congressional insider trading ban - 01:17
Gas prices no detour for car buyers
Gas prices no detour for car buyers - 02:13
Demand for fuel-efficient cars will outlast spike in gas prices
Demand for fuel-efficient cars will outlast spike in gas prices - 02:36
Most engines of growth are in emerging markets : Nissan CEO
Most engines of growth are in emerging markets : Nissan CEO - 05:39
U.S. Day Ahead: GAP set to shine with same store sales
U.S. Day Ahead: GAP set to shine with same store sales - 01:59

Amex to hike late fee

Friday, November 25, 2016 - 01:16

American Express will raise the penalty for late payments to as much as $38. As Fred Katayama reports, the move comes after the CFPB raised the maximum penalty allowed.

▲ Hide Transcript

▶ View Transcript

Amid the holiday shopping rush, beware of late fees on your credit cards. Come January, American Express is hiking the penalty to $38 for those who making two late payments in six months. That's an increase of 2.7 percent. An Amex spokeswoman said the late fees are aimed at recapturing some of the business costs associated with not paying on time. The Wall Street Journal, which first reported the story, says AmEx is the first major issuer to act after the Consumer Financial Protection Bureau led by Richard Cordray moved to raise the maximum penalty allowed to $38 starting 2017. It says J.P. Morgan Chase, Citigroup, Bank of America, and Discover Financial are keeping their maximum late fee at $37. Some issuers like Discover have historically been lenient in assessing late fees to appeal to new customers. Susquehanna Financial analyst James Friedman said, "Other companies will keep fees (steady) as a marketing message or follow suit because they can." Credit card users have avoided billions of dollars in fees over the last few years after the CFPB moved to cap late fees in 2009, and the average late fee declined.

Press CTRL+C (Windows), CMD+C (Mac), or long-press the URL below on your mobile device to copy the code

Close

Amex to hike late fee

Friday, November 25, 2016 - 01:16