They make plenty of money on you even if you pay off in full each month. Don’t forget that credit cards charge between two and four percent to the merchants for each sale.
Once, I was late with a payment to Chase. I asked them to remove the late charge, since we always pay in full. They refused. I told them we’d leave, and we switched to Bank of America and Discover. Chase lost around $1500 a year because they wouldn’t remove a $40 late fee. Or maybe it was only $20.
They want consumers thinking they need to pay for a good credit rating, but it really quite the opposite. The less you pay them, the better your credit rating. You are paying them plenty even without paying extra fees. It’s just built into the cost of goods. Some portion of the goods you buy is transaction fees. Cash, too, costs money to handle and that’s built into the cost of the product.
Reduce your transaction fees and you will become richer. Doesn’t matter whether you are buying shoes or investing your 401K. Reduce your transaction fees and keep more of your money. Credit card interest and late fees are just pissing your money away for absolutely nothing. Doesn’t even help your credit rating.