Many can pass you the check for your credit card payment between the time and when the credit card company takes the check to the bank. Unexpected expenses or booking errors can drain your bank account and drain your credit card payment without enough money. If your check is returned from your bank, payment will not be applied to your account and your credit card issuer will receive a return check fee as a penalty fee.
Why was your payment returned?
There are a couple of reasons your payment could be returned from your bank. Insufficient funds, account closure, or check cancellation are some situations that might explain why your payment was returned.
If you accidentally enter your payment information incorrectly when you pay for your credit card online or over the phone, the payment will not process properly and you could do a back check for free.
How much is checking the return fee?
Your credit card company can charge up to $ 25 for the first back check within a six month period and $ 35 for each subsequent back payment. If you have missed a payment or other back check within the past six months, your credit card company can also waive the penalty rate, which is the highest rate charged to your credit card. Check your credit card terms for the exact fee and penalties for rejected credit card payments.
Tips for avoiding a return flight check fee
You can avoid a return control fee by ensuring that you have enough money in your account to cover the payment. Be sure that you have cleared your checkbook to take into account all transactions that may delete your account in the next few days. You risk a return check fee if you try to hold checks or pay bills in a specific order because you can’t pay everything you can afford. Unfortunately, you can also have insufficient funds in the amount of your bank.
Monitor your checking account closely after you have mailed your credit card payment to ensure that the balance of the payment can be covered when it is presented.
When paying online through the credit card company website, make sure that you have entered all the information correctly, even if it means taking a physical check to confirm your checking account information. Your card issuer may suspend your account for a few months in addition to charging you a fee.
You may have waived the charge, or vice versa, if it was a one-time incident and your account history was always positive. Call the customer service number on the back of your credit card to explain the situation, and ask that the fee be waived as a courtesy.
How To Pay Back Your Credit Affect
The returned payment may not go on your credit report if you make the payment within 30 days of the due date. Fortunately, your credit score will not be affected because of these errors. However, if a full 30 days go due and you fail to make the payment successfully, a 30 day late will go on your credit report and could impact your credit score.
Make a habit of checking that your payments are cleared a few days after you make them. This will help you to react quickly if there is a problem with your payment and if you cannot avoid the return check fee, maybe you can at least save your credit.