The U.S. sharply limits how much credit cards can charge you in late fees

The Consumer Financial Protection Bureau capped credit card late fees as part of the Biden administration fight against junk fees. (Justin Sullivan/Getty Images)

The cost of a late payment on your credit card could soon be going down.

Federal regulators issued a new rule Tuesday capping credit card late fees at $8, down from the current average of $32. The move is expected to save customers an estimated $10 billion a year.