Can everyone claim Late Payment Charges for overdue payments?
No, The Act relates purely to Commercial debts (business-to-business transactions).
What can I claim in Late Payment Charges?
The amount that a Creditor is entitled to claim is as follows:-
|Amount of Debt
||Late Payment Charge
Can I claim Interest as well?
Yes. You will be entitled to claim Statutory Interest which is currently 8% pa.
Alternatively, if your Terms and Conditions include provision for interest you may be entitled to claim contractual interest.
What are Reasonable Costs?
In some cases it is possible to claim any ‘reasonable costs’ that have been incurred in collecting your debt as well as the fixed costs.