Credit Card Late Fees?

So I have this Banana Republic charge card that I made a small $30 charge a year ago. Somehow I forgot about the charge and didnt send in the payment. BR never sent me any other statements or bills after that.

Fast forward a year later...I get a letter from a collection agency stating that i owe Banana Republic $200! I requested copies of my last few statements and discovered that they had been charging me a late fee of $25 EVERY MONTH OVER THE PAST YEAR without informing me or sending me any sort of statements or bills! It was basically late fee charge month after month being added to my account.

What the hell?! Can they do that? I wasnt even aware that I had any outstanding balances on my account.

What should i do now? Can I somehow dispute it? I dont mind paying what I owe...but a years worth of late fees when I didnt even know about them? Is this legal?

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Late payment penalties: When evaluating which credit card is right for you, it is important to consider the late payment penalties. If a late fee is charged, what is it? Is an increased interest rate also enforced as a penalty? Some companies more than double your interest charges if you pay late even by one day. Read more about it at: http://www.credit-card-gallery.com/artic...

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always dispute it, you may get lucky...

when you apply for a card, the disclosures that you sign state all the fees and what not
www.ftc.gov

They make up the rules for consumer credit. Get familiar with those rules. Also, not to be rude, but you should stay more on top of things. Neglecting that bill for a year is going to kick your credit score's butt. I hate to say it, but as far as the interest and late fees goes, I believe they are fully within their rights. They can continue to charge you interest and fees until they write you off as a customer.

Just pay the bill and learn a lesson. It could have been worse. It could have been a LOT worse. Imagine the interest and late fees you would have incurred if you would have spent a couple of hundred dollars instead of just 30.