Late Fees : ezLandlordForms

A

Amanda N

started a topic over 15 years ago

What is the maximum amount of initial late fee allowed in Florida? Can additional late fees be charged daily?

M

Mary G

said almost 5 years ago

Can I charge a basic fee after 5 days then add daily fees after 10 days late?

M

Matthew M

said over 5 years ago

In my lease, I put $10/day determined by the date I receive the email notification that rent has been paid (Paypal, Venmo, etc) or upon the postmark on the envelope. That way there is argument as to the exact number of days late.

C

Charles N

said over 10 years ago

This is legal in Texas, and there are no limits in Texas. This late fee structure was actually established by the template lease on this site, plus I've seen it used in leases I've signed in the past. It's a $50 base fee plus $25 for each day. Rent is due on or before the 1st. They get a 3 day grace period. So, if no payment is received on or before the 4th then fees start on the 5th: due on the 1st, 3 days of no fees, fees start after that. I've decided to modify this slightly when renewing: I'm going to cap the fees at $225. That equals 7 days of fees. I don't like the idea of a flat rate because they can simply become accustom to paying the fee and I don't want that. This way if you are late only a day, then the fees are not incredibly large, but if you're days late then you will feel it. My current way (with no cap) can allow the fees to get too out of hand, for both them and I. Thank you all!

G

Gary S

said almost 11 years ago

This is very true about different states having limits. I use to charge a late fee very similar to this until I found that in TN, I can only charge up to 10% of the rent amount. Also, in most states, charging a late fee like this is illegal. Last, in most states you have to give until the 5th day of the month for the rent to be paid, and it is late on the 6th day unless that day falls on a Sunday or holiday. In cases like this, it will be the next business day.

D

Dawn A

said almost 11 years ago

$50 + $25 a day is confusing. Does this mean it starts on the 2nd or the 5th? And is the late fee $50 or $75? Check your state laws to ensure you're not charging too much of a late fee; some states have limits.

P

Polly R

said over 11 years ago

I charge my tenants $50 late fee after the 3 day grace period. They either pay or get a 3 Day Notice to Quit on the 4th Day. If they don't pay within the following 3 days, they get a 60 day eviction notice. No playing games. Luckily haven't had to evict yet as they've paid so far.

k

Karen S

said over 11 years ago

Hmmm... you really need to get everything in writing. Plus, if the tenant is unresponsive you arent off to a great start. If he hasnt paid the rent and has moved in, then I believe he is late on rent.

k

Karen S

said over 11 years ago

I always include a late fee in my lease, that way its noted. However, you must also double check your state laws.

L

Luis M

said almost 12 years ago

There are 2 ways to think about late fees, whether you want the fees as additional revenue, or to encourage your tenants to pay rent on time. All in all, many leases have a per day charge of around $5-$10

B

Bob R

said about 12 years ago

@Dawn…If you start charging a late fee of $10/mo after the 5th day, at what point do you send them a Pay/Quit Notice? Interesting topic. Hope others join in.

B

Bob R

said about 12 years ago

@Dawn…I’m not sure why you feel tenants should not be responsible for damages caused by invites or guests. An explanation would be greatly appreciated. I also would not let a tenant do any repairs, such as window glass replacement, unless they were in the business of glass repair and had insurance. If landlords required tenant’s insurance, the insurance company would pay for the replacement and have a qualified company do the work.

D

Dawn A

said about 12 years ago

Here is what I have in my lease agreements regarding broken windows: Except for those windows which are noted in writing as being cracked or broken when Tenant moves in, Tenant agrees to be responsible for any windows that become cracked or broken in their dwelling while they live there. Tenant is not responsible for damage caused by natural disasters, or by persons other than the Tenant or the Tenant’s guest or invitees. Tenant may repair the windows themselves if they can do the work in a professional manner. Otherwise, they may hire a glazier or submit a maintenance request to the Landlord. If they submit a maintenance request, Landlord will charge them no more for the work then the least expensive bid for the work which Tenant can obtain from a professional glazier.

B

Bob R

said about 12 years ago

Arizona tenants are legally entitled to rental property that meets basic structural, health, and safety standards and is in good repair….. If a landlord fails to take care of important maintenance, such as a leaky roof or a broken heater, tenants have several important legal rights, including: (1) the right to withhold rent until repairs are made, and (2) the right to “repair and deduct”—that is, to hire a repairperson to fix a serious defect that makes a unit unfit (or buy a replacement part or item and do it them self) and deduct the cost from your rent…..As for the window, it’s a safety hazard and should be repaired ASAP. Send the bill to the tenant if tenant refuses to pay for repair with a due date. If tenant does not pay as stipulated, send tenant a Violation (assuming contract states tenant is responsible) Notice to pay. If they don’t, start an eviction…...As for the late fee, include the amount in your demand letter. -----Disclaimer: Since I’ve been answering a lot of questions, I thought I would make the following statement. I’m not affiliated with EZlandlord Forms. I’m just here (not sure how long) to help those that have questions. Having 40+ yrs with Rental Property and done well, it’s my way of “Pay it Forward (check out the movie).” However, it is up to you to become familiar with your State/Local laws. I always like to know if the suggestions I offer are helpful. Feel free to comment anytime. Thanks in Advance. BTW...check out the Rental Property Organizer at Simp-List.com. Free Trial Download with data.

O

Oscar F

said about 12 years ago

I've been considered with a new tenant who hasn't paid a single month on time since April when he first rented. Now he's complaining ( through a 5 -day notice) about some minor repairs he never mentioned before. I will take care of what it's my responsibility such a leak in the kitchen, but i do not have to repair a window glass he broke, do I??. Besides , can i claim the late fee he never paid?? He seems a troublemaker i wouldn't mind if we can terminate the lease earlier. As you can see i'm new at this. I will appreciate your advise. Thanks,

D

Dawn A

said about 12 years ago

I give a grace period up to 5 days, then charge a late fee of $10 per day thereafter. Most tenants pay on the 5th.