It’s not too surprising that a key factor to a lot of people’s unpaid debt are a result of interest rates and fines that balloon to such a crazy amount that people get stuck in a cycle of simply paying off the interest fees versus the actual debt itself. But one example was amazing today of a person having to pay late fees for a service.
Normally the service itself would only be about $15 a year to maintain registration of a domain name. This needs to be renewed each year. If you don’t renew it in time and pass a grace period of sort you may be stuck having to pay almost $100 in fees to get it back just for a year. This happened to the person and it’s crazy to think about because you can literally register the domain with a bulk discount of sort for about $100 for ten years instead.
It was such a great example on how companies make so much money when you don’t pay on time which should make you extra careful to always pay everything in full on time. I wouldn’t be surprised if businesses make the majority of their income on these kinds of fees versus just selling the services as is.