First, it is it is pretty well accepted that capitalized statements are seen as yelling. Put in bold print doubly so. By any measure a breach of etiquette.

Second, I worded the statement broadly on purpose. This isn't a forum on economics or accounting. But even broadly worded it is accurate.

"Fees now account for 39% of the revenue for credit card issuers according to RK Hammer, a bank card advisory firm."

Only 11% off on its face.

But what your missing here is that the penalties part I mentioned are not just fees. There are also interest penalties. In most cases the CC companies maintain the right to raise your interest rate to a default rate if you are late on any payment. Under universal default pricing this can apply even if the late payment is not on your account with them. In either case it is entirely possible to see your interest rate rise to over 30%. But none of this is listed as a fee because it is listed as a penalty. A semantic dodge by the CC companies and more of an issue than a simple late fee because a fee is a one-time charge while a drastic increase in interest rate is applied monthly.

Now nobody thinks that your payment history shouldn't be part of your credit rating and the interest charged. But the interest rate charged has to be kept in proportion to the actual risk and costs of maintaining the account. That is not what I'm talking about. What I'm talking about is abuse.

The CC companies are allowed by law to set their fees and interest at any rate they desire and both fees and penalties have become a major profit center. The companies are also allowed to alter their policies to increase the odds of a card user making a late payment so they can apply these fees and penalties. Practices like setting the due date on a Sunday or holiday are pretty much the norm now. And they are a fine, but unscrupulous, way of making sure you will get more people to miss it so you can make more profit by laying on fees and penalties. Delaying the clearance of cheques or late postings of payments are also common but clearly, IMO, unethical practices.

Used to be, for the most part, the interests of both those offering credit and those using credit were aligned. The banker wanted you to know and understand the rules and they made their money from you complying with these established rules. There was no desire for the credit holder fail.

I have and keep several credit cards. But dealing with them is like dealing with a rabid dog. You always keep your eyes on what is going on and after handing over funds you count your fingers.

Of all the ways to use credit, discounting payday and title loans or Big Al and his crew of thugs down the block, credit cards are the most problematic. Made worse because they have a financial interest in you failing.