Charge Late Fee by Days Late

Stessa offers a fixed late fee or a percentage of rent late fee. It’s customary in our neck of the woods to charge a late fee based on the number of days late. For example, if the tenant pays their rent on the 10th, there are 10 days late (due on the 1st with 5 days grace), and the charge is $5 per day ($50). I have a maximum late fee of 1 month (28, 29, 30, or 31 * 5, depending on number of days in the month). Is this idiotic? Anyway, that’s the way my MTM tenancies are set up. I’d love to see this as an added option to your software, or is there a workaround other than tracking late fees manually?

4 Likes

This is apropos the wish Incremental / daily late fee charge and collection

I’d like to ask for enhancement to the late fee functionality. Specifically, allow some common rules for late fees, e.g.:

  • add fixed amount daily for each day rent is overdue
  • allow a different amount on the first day after grace period, e.g. $25 on the 6th day (5-day grace period) and $5 every day thereafter.
  • allow to specify how the received rent payment is automatically applied, i.e., first to late fees that then to rent or vice-a-versa, etc.
  • when rent payment is entered in the transactions, “backtrack” late fees based on the date of the transaction.
2 Likes

My wish is to have percentage late fees for multiple days. On the 4th I want to change 5% late fee and then for the next 5 or 7 depending upon the property I would like to charge 1% of rent as a daily late fee.