American Express adds automatic surcharge but customers have an easy step to avoid it

AMERICAN Express charges a fee that customers need to be aware of – but one that can easily be avoided.

Credit card companies may charge you a surcharge for late payments.

American Express, like other major credit card companies, charges late fees for overdue payments


American Express, like other major credit card companies, charges late fees for overdue paymentsPhoto credit: Getty

And American Express is no different.

According to the financial services giant, late payment interest cannot be higher than the minimum payment.

For those who made their second late payment in six months, they can also range from $29 to $40 — whichever is the lowest.

But either way, late fees can add up — so you should avoid them.

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If you’re forgetful, be sure to set up alarms, calendar appointments, or task reminders.

It could also make sense to set up automatic payments for a specific date.


But late payments aren’t the only thing you should be aware of as an American Express cardholder.

The same late fee policy applies to American Express if your payment is refunded by your bank.

One reason could be that you do not have enough cash in your account.

Here is a list of other surcharges you may face according to American Express.

  • Credit limit increase
  • Express shipping for a replacement card
  • Duplicate document requests including bank statements
  • reward claim
  • Setting up an account and maintenance
  • compensation transfer
  • Credit card withdrawals
  • Foreign Transitions

Keep in mind that these fees can vary, so it’s worth checking with your bank about how much you’ll have to pay.

Also note that the Credit Card Accountability, Responsibility and Disclosure Act of 2009 protects consumers from excessive charges.

According to the Consumer Financial Protection Bureau, penalties imposed by credit card companies must be “reasonable and proportionate.”


Aside from the credit card companies, you need to be aware of other day-to-day necessities that can result in surcharges.

For example, a tax on groceries sold in Illinois grocery stores is scheduled to be introduced in July.

Shoppers can expect an additional one percent fee on their grocery purchases.

Also, both Walmart and Target could charge fees due to no-bag laws.

One of the most recent states to take action was Washington.

The state law allows companies to charge eight cents for carrier bags made of paper or reusable plastic bags.

Other states that have implemented plastic bans include California, New Jersey, Connecticut, Delaware, Hawaii, Vermont, Maine, Colorado, New York and Oregon.

The easy way to avoid the extra charge is to bring your own reusable bags.

Costco charges non-members a 5% shipping surcharge.

If you shop regularly, you can avoid this by signing up for one of their memberships, which range from $60 to $120 depending on the perks you want.

Best Buy charges a restocking fee on select returns.

Depending on what you bought, this could be 15% of the item’s original price or $45.

There is no restocking fee in Alaska, Colorado, Iowa, Ohio, Mississippi, Oklahoma and South Carolina.

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For more related stories, Ticketmaster and other companies have reportedly agreed to scrap so-called junk fees.

And Costco has released an important update on membership fees.

Aila Slisco

Aila Slisco is a Dailynationtoday U.S. News Reporter based in London. His focus is on U.S. politics and the environment. He has covered climate change extensively, as well as healthcare and crime. Aila Slisco joined Dailynationtoday in 2023 from the Daily Express and previously worked for Chemist and Druggist and the Jewish Chronicle. He is a graduate of Cambridge University. Languages: English. You can get in touch with me by emailing:

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