LATE CHARGES on rental lease agreement………………..

This is the section for my lease that covers any late charges due to nonpayment. For more information on managing rental properties go to my website www.managementofrentals.com and follow my blog free of charge.

LATE CHARGES: Tenant agrees to pay the rent in the manner herein above stipulated and upon failure to do so by the 5th day following the due date, agrees to pay the sum of Twenty-five Dollars ($25.00) plus Five Dollars ($5.00) per day for each day the rent remains unpaid.  This late charge is to compensate Owner for expense of collecting the late rent.  If Tenant fails to pay late charges, these may be deducted from security deposit.  If late charges accumulated ever exceed $100.00, Tenant may risk eviction at Owners discretion.

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