View Full Version : Late Payment Policy questions
I'm just updating all of my policies and am on my 'Late Payment of Fees' policy.
Fortunately I have never had to put it into practise, but my policy says that I will give a polite reminder and then make an additional charge. I was just wondering - are we actually allowed to do that? I'm assuming we are as so many of us do seem to have that in our policy. Do I need to check with my insurance company that I am allowed to do that?
Sorry, I'm in a 'second guessing myself' mood.
Thanks x
Mouse
05-02-2016, 01:59 PM
I would think it's something worth checking with your insurance company.
I know a lot of cms think that if something's in their contract, or in a policy, it stands, but if a parent queries it I'm sure it can be deemed to be unreasonable and not enforceable. You can add a reasonable charge, but I don't know what would be seen as reasonable.
I can't even remember what my late payment fee is ( I think it's something like 5% of outstanding fees) but I've never actually charged it.
alex__17
05-02-2016, 01:59 PM
I have it written into my contracts, there's a section in the MM contracts that covers late fees at a certain % I choose for each day/week I think.
I would think it's something worth checking with your insurance company.
I know a lot of cms think that if something's in their contract, or in a policy, it stands, but if a parent queries it I'm sure it can be deemed to be unreasonable and not enforceable. You can add a reasonable charge, but I don't know what would be seen as reasonable.
I can't even remember what my late payment fee is ( I think it's something like 5% of outstanding fees) but I've never actually charged it.
Yes, that is exactly what I was thinking.
I have it written into my contracts, there's a section in the MM contracts that covers late fees at a certain % I choose for each day/week I think.
Thanks alex_1. I'm with Pacey so I'll check it out this evening.