While many major issuers allow cardholders two defaults before assessing punitive interest rates the Discover card is hitting cardholders with its 22.40% punitive rate for one late payment, in addition to a $20 late fee. CardTrak says new cardholders signing up for Discover’s nine-month, 6.9% intro rate will see their rate more than triple if they miss a payment and do not make the minimum payment by the next due date. Existing cardholders face the 22.40% rate for the same scenario. Industry-wide late payment fees have climbed more than 50% this year to an average of slightly less than $20 with most issuers abolishing the grace period for late payments. Punitive interest rates are now employed by most major issuers and range from 21.40% to 32.60%.