Late rent

[King13]

Hi

How is interest on late rent calculated? For instance - rent payment for Feb-Mar-Apr is late. How is interest calculated and
what happens if this interest is also not paid on due date?

Cheers.

[Keys]

Read your lease.

[Perry]

Commercial or residential?

[Keys]

I made the assumption it was commercial Perry. Sorry. It's just that it appeared in the commercial part of PT.

[Perry]

Seems fair enough to presume that, especially as it is not an option for residential.

Plus, I should read the section heading more carefully.

[Davo36]

Yeah it's actually kind of tricky.

I had to get a template from an accountant when I did it years ago.

Because as time goes on you have to update all the amounts.

And you may have part payments in there etc.

[King13]

Thanks everyone. Yes, it is commercial property with an ADLS lease which states a default interest rate.

My question was around how to calculate the interest payable? Is it fixed - i.e. added every month or cumulative i.e. calculated daily and invoiced periodically?

Sorry if the initial question was less clear. Any advice (or template) appreciated.