If the tenants who live in my house owe me over $3400 in back rent and late penalties, can I charge them interest?

Get Legal Help Today

Compare Quotes From Top Companies and Save

secured lock Secured with SHA-256 Encryption

If the tenants who live in my house owe me over $3400 in back rent and late penalties, can I charge them interest?

Can I legally charge them the same 12%-18% that a bank would charge for a personal loan?

Asked on April 3, 2012 under Real Estate Law, Virginia

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 11 years ago | Contributor

You could only charge them interest (or late fees) if there was a written lease allowing you to do so. You cannot unilaterally add this term after the fact--it must be something which the tenants agreed to at the time they agreed to rent the premises from you.

It is also doubtful that you could charge that much in any event--most likely, you be held to an amount reflecting the cost to you, such as amount commensurate with interest rate on any mortgages or loans on the property.


IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

Get Legal Help Today

Find the right lawyer for your legal issue.

secured lock Secured with SHA-256 Encryption