The Brief A rule to cap credit card late fees will not take effect following a court ruling by a Texas judge. The federal government estimated when it issued the proposal last year that banks brought in roughly $14 billion in credit card late fees a year. A federal judge has scrapped a rule from the Biden administration that would have placed a cap on credit card late fees. Lawsuit filed over rule capping credit card late feesWhat we know:The banks and other groups had alleged the new rule — proposed last year under the administration of President Joe Biden — violated the Credit Card Accountability Responsibility and Disclosure or CARD Act of 2009, which was enacted to protect consumers from unfair practices by credit card companies. The CFPB estimated when it issued the proposal last year that banks brought in roughly $14 billion in credit card late fees a year.