The CFPB earlier this month finalised a rule to cut excessive credit card late fees by closing a loophole exploited by large card issuers.The CFPB estimates that American families will save more than $10 billion in late fees annually once the final rule goes into effect by reducing the typical fee from $32 to $8. This will be an average savings of $220 per year for the more than 45 million people who are charged late fees.In its charge against the consumer protection agency, the US Chamber of Commerce argues that the changes punish responsible credit card users who pay their bills on time. It also alleges that the CFPB determined its ruling by relying on the use of secret data provided by banks for an unrelated purpose. It’s no surprise to find that the The American Bankers Association is named as a co-plaintiff in submitted court documents.“American consumers benefit from a variety of credit cards that best suit their needs, and a large majority of credit card users understand the requirement to pay their credit card bills on time in addition to the costs that come with a late payment,” says Neil Bradley, UA Chamber chief policy officer. “By significantly limiting late fees, the CFPB is not only discouraging responsible credit card use but also imposing higher costs on consumers and limiting choices in credit card options and benefits.”He says that the costs incurred by banks in limiting late fees will be passed onto all credit card users, even those who have never made a late payment. Bradley continues: "The CFPB is acting outside its authority and the Chamber’s lawsuit seeks to protect American cardholders who pay their bills on time and enjoy the numerous benefits of diverse credit card offerings from America’s financial institutions.”