Credit Card Charges Of Interest And Fees Jump To Record $130 Billion

American consumers paid a record $130 billion in credit card interest and fees in 2022, a government agency says.

Credit card companies charged $105 billion in interest and more than $25 billion in fees, the Consumer Financial Protection Bureau said Wednesday in a report. Credit card debt surpassed $1 trillion for the first time.

"With credit card debt crossing the trillion dollar mark, we will be working to prevent bait-and-switch tactics when it comes to rewards and to increase refinancing activity so consumers can get lower rates," CFPB Director Rohit Chopra said.

CFPB is a government agency dedicated to making sure consumers are treated fairly by banks, lenders and other financial institutions, according to the description on its website.

The agency said in the report that profits of major credit card companies are now higher than before the pandemic, "potentially signaling a lack of competition."

At the same time, "more cardholders are being charged late fees, falling behind on payments, and facing higher costs on growing debt," CFPB said.