Yes. If you are more than 60 days late on a credit card payment, then the issuer can impose a penalty APR as high as 29%. If this happens the issuer is permitted to apply the 29% APR to your outstanding balances. In most cases, the Credit Card Act prevents credit card companies from raising the interest rate on the balance you owe; however, in the case of a payment more than 60 days late they can. They can also increase your interest rate if you have had your card for at least a year. They are required to give you a 45-day advance notice. If your credit score has gone down significantly, then the issuer can also choose to raise your rate.
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