How developers configure it
| Setting | Typical options |
|---|---|
| Level | Per phase or sector |
| Method | A daily fixed amount, or a percentage of the overdue invoice |
| Cap | An upper limit |
| Grace period | Days after the due date before the fee starts |
| Start date | The due date, or the end of the grace period |
| Invoice | Raised when the overdue instalment is paid |
Before a payment plan amendment
Developers usually require any outstanding late payment fee to be paid or waived before they amend a buyer's payment plan, so the old schedule is settled cleanly.
Frequently asked questions
Can a late payment fee be waived?
Often, on request and with approval. Developers usually handle waivers as a service request approved by credit control and finance.
Does a payment extension stop the late payment fee?
If the buyer pays by the extended date, usually yes. If they miss the extended date too, many developers calculate the fee from the original due date.
Are late payment fees paid first?
In many developers' systems, yes. Receipts are allocated to outstanding late payment fee invoices first, then to the oldest instalment.
Talk to us for pricing
Developer plans are scoped to your projects and launch services, so we price them on a short call. The broker app is free.