What is a hidden fee?
What is a hidden fee? While most consumers expect to pay specific fees for the services they use, there may be additional charges added on that they may not necessarily be aware of at the time they signed up. These are called hidden or undisclosed fees, which may be a one-time charge and may appear in fine print on a contract.
What are the three types of fees?
Understanding the Three Fee Types and How They Are Applied
- Amortizing Fees. Amortizing fees, also known as deferred fees, are applied when the loan is originally opened. ...
- Miscellaneous Fees. Miscellaneous fees are applied after a loan is opened when certain actions take place on the account. ...
- Maintenance Fees (P/I Fee)
Are hidden fees bad?
Being hit with hidden fees can be an unfortunate and an unwelcome experience for a consumer. In certain situations, however, it can also entitle the consumer to take legal action.