The Association of Banks in Malaysia Friday said maximum late fees for credit cards will decrease by a third on 1 July, to 50 ringgits (US$14 or 10 euros) from 75 ringgits. Under the new rules, credit cardholders faced with overdue bills will have to pay at least 5 ringgits or 1% of the outstanding balance, whichever is higher, the association says, though the amount cannot exceed the maximum limit. The previous minimum late-fee charge was 10 ringgits. The association represents the country's 22 commercial banks. The group also is giving credit cardholders a three-day grace period to pay off their bills before late fees are assessed. Not all banks now allow a grace period, the association says. "The new late payment-fee provisions are aimed at giving credit cardholders the requisite breathing space and at the same time reinforce the need for them to better manage their personal finances," the group says in a statement.