What are the consequences of not paying my credit card bill on time?

If you do not pay your credit card bill on time, there are various consequences that you might face. First, you may incur a late fee, which is usually around $25-35. This fee is assessed whenever you are late in making your payment. In addition, you may also incur a penalty interest rate, which can be as high as 27.99%, depending on your credit card company. This penalty is typically applied to any portion of your balance that you have not paid off yet. Your credit score may also suffer if you do not pay your credit card bill on time. Late payments can lower your score, as it signals to creditors that you are not reliable when it comes to managing debt. Furthermore, a history of late payments can make it more difficult to receive financing in the future as creditors may view you as a risk. If you fail to pay your bill for an extended period of time, your credit card company may take legal action against you. This could result in a collection agency taking over your account and taking steps to recover the unpaid debt. This could include wage garnishment, a judgment, or a lien on your property. It is important to take steps to avoid missing payments. This could include setting up automatic payments, setting reminders for yourself, or keeping your credit card balance low. By taking these steps, you can avoid the consequences of not paying your credit card bill on time.

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What are the consequences of not paying my credit card bill on time?

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