Reasonable penalty fees on open end consumer credit plans

15 U.S. Code § 1665d. Reasonable penalty fees on open end consumer credit plans

(a) In general
The amount of any penalty fee or charge that a card issuer may impose with respect to a credit card account under an open end consumer credit plan in connection with any omission with respect to, or violation of, the cardholder agreement, including any late payment fee, over-the-limit fee, or any other penalty fee or charge, shall be reasonable and proportional to such omission or violation.
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