Handling late fee notifications

[S. Perry]

Rent is due on the 1st. I offer a grace period of sorts through the 5th with no late fee. Once the 6th comes there is a $50 late fee and then $10 each additional day.

I have had to collect this once ($60.00). Tenant never pays by the first but uses the "grace period" each month. I can see online when the deposits are made but didn't take into account when a deposit is made on the 5th which happens to be a weekend (for example) the post doesn't occur until the next business day.

This weekend will be one of those weekends....I can only assume their chronic behavior will continue and they won't make the deposit until Sunday, Oct. 5th.....posting won't happen until Monday night, Oct. 6th. Technically this is late and a fee should be collected. 

Assuming these were perfect tenants I wouldn't even be asking but sadly they are not.

How many of you accept this as being "on time" verses charging a late fee in this situation?

[Roy N.]

@S. Perry 

Here we are only allowed to charge a single late fee and not a per diem (sadly).  It is also not intended to be more than a bank charge for non-payment, though the wording of the legislation is a little vague here.

Here rent is legally late as of the day following its due date (i.e. the 2nd).  We state very clearly in our house rules that a late fee ($50.00) is assessed when rent has not been paid in-full by 17:00 on the fourth day of the month.  Unless the tenant is a habitual offender.  A tenant becomes a habitual offender if their rent is late three consecutive months or five months out of the past twelve.  When a tenant becomes a habitual offender, we notify them in writing and all future late fees are assessed if there is an outstanding balance at 17:00 on the second of the month.