What is a credit card annual fee?
A credit card annual fee is a fee paid each year for the privilege of owning and using a credit card. This fee is usually charged to a customer’s account on an annual basis, though it may be waived in certain circumstances. In South Carolina, the maximum allowable credit card annual fee is $35.00. Banks and other financial institutions may charge higher fees in certain cases, but the fee must be disclosed to the customer prior to use. Annual fees can vary widely between issuers and are typically based on the customer’s creditworthiness and the type of card they have. Customers should always read the terms and conditions of their cards before signing up to ensure they know what will and won’t be charged. Some cards charge no annual fee, while others charge up to hundreds of dollars a year. Customers should consider how often they plan to use their credit card and compare the overall costs of the card, including annual fees, before making a decision.
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