                                 CODE OF VIRGINIA

AMOUNT OF LATE CHARGE; WHEN CHARGE CAN BE MADE (§ 6.2-400)

A. As used in this section:
			&#8220;Late charges&#8221; does not include charges imposed upon acceleration
of the entire debt or costs of collection and attorney fees as otherwise
permitted by law by reason of a default by the debtor.
			&#8220;Timely payment&#8221; means a payment made by the date fixed for
payment or within a period of seven calendar days after such due date.

B. Any lender or seller may impose a late charge for failure to make timely
payment of any installment due on a debt, whether installment or single
maturity, provided that such late charge does not exceed five percent of the
amount of such installment payment and that the charge is specified in the
contract between the lender or seller and the debtor.

C. If any federal governmental agency or organization shall adopt any rules or
regulations dealing with the application of late penalties as to loans insured
or guaranteed by such federal agency or organization, then such rules and
regulations shall control as to such loans insured or guaranteed by them.

D. Any provision for late charges in excess of the amount permitted by this
section shall be void as to such excess but shall not otherwise affect the
validity of the obligation.

HISTORY: 1987, c. 622, § 6.1-330.80; 2010, c. 794.