late charge

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Late charge

A fee a credit grantor charges a borrower for a late payment.

Late Charge

A fee that a creditor assesses on a debtor when the borrower makes a late payment. For example, suppose a student loan carries a monthly payment of $150 and is due on the last day of each month. If the borrower does not pay the full $150 on the due date (or within a certain grace period), the lender may assess a $15 late charge. Late charges may occur with loans or other liabilities, such as a rent payment.

late charge

A fee to compensate a lender for the additional administrative expenses and general inconvenience suffered when payments are not received on time.If the late charge is excessive,the courts will construe it as a penalty,and penalties are illegal. Many industries have had to reduce their customary late charges because of class-action litigation resulting in millions of dollars of refunds and reimbursement for attorneys' fees.

References in periodicals archive ?
100/-, late charges of Intermediate and BA is Rs 200, while late fee charges of postgraduate admissions is Rs.
Summary: ABU DHABI -- Late charges and fines will be levied on nationals who have not registered or renewed their ID cards by October 31 this year, while expatriates in different emirates face penalties in phases from December 1, the Emirates Identity Authority (EIDA) said on Wednesday.
30, and threatened to halt the water supply and enforce late charges for those who do not pay on time.
Each municipality has its peculiarities as to acceptable billing practices, late charges, and accrual of arrears.
Challender apparently was billed for late charges accrued since 1900.
In the March 1992 issue of Business Credit, I published an article on collecting late charges This began as what I jokingly refer to as my "15 minutes of fame," which is promised us all according to the late Andy Warhol.
We didn't worry about the late charges because the main bill [the principal] was always paid," he says.
Throw in fees for insurance, late charges, and other submerged costs, and eventually customers pay three, four, or five times what they'd spend on the same item at a retail store.
Unfortunately, many owners who have relied upon the plain language of their leases have found that demanding the payment of legal fees and/or late charges in the rent demand or petition has often led to a dispute as to the validity of the owner's underlying notices.