Finance dictionary / Late fee

Late fee

A charge for paying a bill after its due date.

Credit cards, loans, utilities and landlords often charge a fee when a payment is late. A credit card payment 30 or more days late can also be reported to the credit bureaus and hurt your credit score.

Knowing which paycheck covers each bill is one of the simplest ways to avoid them. If you're going to be late, calling ahead sometimes gets a fee waived.