PayPal MC - BEWARE!!

[Anonymous]

Credit card companies know human behavior too well to think that some borrowers wouldn't pay ON the due date. There is NO EXCUSE to incur a late fee for a 4 PM payment. This is purely an arbitrary revenue trap. Even if your late fee gets refunded, it provides a float for PayPal / their bank having a constant hold on all that money. 

Waiting for the moral grandstanding brigade to descend upon this thread as they did in: https://ficoforums.myfico.com/t5/Credit-Cards/Citi-quot-late-quot-fee-int-reversed-won-t-fix-stateme...

[Credit12Fico]

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@Anonymous wrote:

Credit card companies know human behavior too well to think that some borrowers wouldn't pay ON the due date. There is NO EXCUSE to incur a late fee for a 4 PM payment. This is purely an arbitrary revenue trap. Even if your late fee gets refunded, it provides a float for PayPal / their bank having a constant hold on all that money. 

Waiting for the moral grandstanding brigade to descend upon this thread as they did in: https://ficoforums.myfico.com/t5/Credit-Cards/Citi-quot-late-quot-fee-int-reversed-won-t-fix-statement/td-p/6100286

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When you look at the interface that Sync puts out for the Paypal card....what makes you think their IT can accomplish something so simple like this....There has clearly been a great struggle to put out the product as it is...and its still not truly a mobile app, but rather a web page accessed through the Paypal App. To have the basic functionality in the system is FAR too much to ask lol 

[Ragdollkitty]

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@JSS3 wrote:

Processing for paypal usually takes 2 days. If you pay ON the due date, you'll be charged a late payment that will automatically be reversed once everything is finalized.

I believe you receive a message about this right when you pay.

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Yes. This used to happen all the time with my Sam's synchrony MasterCard. The late fee would disappear by itself after payment finished processing in a few days.

[UpperNwGuy]

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@Credit12Fico wrote:

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@UpperNwGuy wrote:

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@Anonymous wrote:

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But it also makes sense to pay as late as possible to get the benefit of the float.   That's why I always use autopay PIF on due date.   They take the money, no late fee, and, providing there is money in the payment account, it's their responsibility if anything gets delayed.

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In today's world of extremely low interest rates there is no longer much benefit of the float.  Better to pay your card several days before the due date than to earn a few cents in your checking account.

It may be their responsibility if anything gets delayed, but you may have to fight like heck to get them to admit it.  Meanwhile, they might ding your credit.

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You have a point, but there are things beyond checking accounts that are profitable with float money if you know what you are doing. And I'm I'm not talking about stocks or gambling lol.

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Yes, but most of us don't know the rules of that game, so we don't play.

[blazerein]

@iamdetermined   same with Amazon Store Card both Synchrony Bank.  You will see a late fee charge to your account even you already paid on due date.  Once your payment cleared, they will remove your late fee.  Yup they are very sneaky and quick to charge that fee lol