Can I charge late fees if my invoice did not mention them?

Generally no for agreed commercial terms. You need prior disclosure. Some jurisdictions allow statutory interest without a clause on qualifying B2B debts (UK/EU). Do not add surprise fees on the first reminder.

Is 1.5% per month too high?

1.5% monthly (18% APR) is common on US business invoices and often defended as reasonable. It may exceed statutory caps in some EU contexts if your contract rate is lower than the directive minimum. In that case the statutory rate may apply instead.

Do late fees require a new invoice?

Best practice: yes. A separate fee invoice or clearly labeled adjustment line with its own reference. Some accounting systems add a finance charge line on a statement; either works if documented.

Will charging late fees damage client relationships?

Enforcing fees on chronic late payers sets boundaries. Waiving a first offense for a good client builds goodwill. Chronic waivers teach clients your terms are optional.

Can I charge late fees on partial payments?

Apply the fee to the remaining unpaid balance after partial payment, from the due date unless your terms say otherwise. State the calculation in writing.

Late Payment Fees on Invoices: What Is Legal and How to Charge Them

When you can charge late fees on invoices, typical rates by region, exact clause wording, how to issue a fee adjustment, and when to skip penalties, plus a fee-notice email template.

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