Late rent fees in New York: the legal limit
NY landlords can charge a late fee only after rent is 5 days late, and it can’t exceed $50 or 5% of monthly rent, whichever is less. Examples and your rights.
6 min read · Updated
In New York, a landlord can’t charge a late fee unless your rent is more than five days late, and the fee can’t be more than $50 or 5% of your monthly rent, whichever is less. So the most anyone in the state can be charged for one late rent payment on an apartment is $50, and on rents under $1,000 the cap is lower.
At a glance
- Law
- Real Property Law § 238-a(2)
- Grace period
- 5 days
- No fee if rent is paid within five days of the due date
- Maximum fee
- $50 or 5%
- Whichever is less
- Bounced check fee
- Only if the lease says so
- Capped at the greater of $20 or actual costs
- Lease says more?
- Void
- Clauses that waive § 238-a are against public policy
- In Housing Court
- Not collectible
- Only rent can be sought in a nonpayment case
The rule in plain English
Section 238-a of the Real Property Law sets two limits on late fees for residential tenants:
- Timing. No late fee unless the rent has not been paid within five days of the date it was due. If rent is due on the 1st, paying by the 5th is safely inside the window. Don’t test the last day: if you are near the edge, pay earlier.
- Amount. The fee can’t exceed $50 or 5% of the monthly rent, whichever is less.
The law also says any lease provision that waives or limits these rights is void. A lease that says “$100 late fee after the 3rd” is unenforceable to the extent it goes beyond the statute.
What’s the maximum on your rent?
The 5% figure only matters if your rent is below $1,000. At $1,000 a month and up, the $50 cap is always lower.
| Monthly rent | 5% of rent | Maximum late fee |
|---|---|---|
| $500 | $25 | $25 |
| $750 | $37.50 | $37.50 |
| $900 | $45 | $45 |
| $1,000 | $50 | $50 |
| $1,800 | $90 | $50 |
| $2,500 | $125 | $50 |
| $4,000 | $200 | $50 |
Want to check your own numbers, including whether the grace period had run? Use the late rent fee checker.
A worked example
Your rent is $2,300, due on the 1st. Your lease says a late fee of 10% applies if rent is received after the 3rd. You pay on the 4th.
- Is a fee allowed? No. Paying on the 4th is well within five days of the due date, so no late fee can be charged, whatever the lease says.
- What if you paid on the 9th? A fee is now allowed, but 10% ($230) is far over the limit. 5% of $2,300 is $115, so the lesser figure is $50. The most the landlord can charge is $50.
- What if they charge a fee every day? The statute caps “the” late fee at the lesser of $50 or 5% of monthly rent; a daily fee that adds up past that cap for one late payment conflicts with the limit. Point the landlord to § 238-a and ask them to correct the ledger.
Bounced rent checks
A separate part of the same law (§ 238-a(2-a)) covers dishonored checks. A landlord can charge a returned-check fee only if your lease or rental agreement provides for one. The fee is limited to the greater of the landlord’s actual costs or the amount set by General Obligations Law § 5-328, which is $20. If the landlord charges more than $20, you can ask for proof of the actual costs, and the landlord must provide it.
Co-ops and other exceptions
| Housing type | Late-fee rule |
|---|---|
| Rental apartments and houses, including rent-stabilized units | 5-day grace period; lesser of $50 or 5% of monthly rent |
| Co-op shareholders (most co-ops) | Up to 8% of monthly maintenance, if the proprietary lease provides for it |
| Subtenants or renters of a co-op shareholder | Ordinary renter rules: lesser of $50 or 5% |
| Manufactured home parks | No late charge on rent received within 10 days of the due date (AG guide) |
The statute does not exempt rent-stabilized or rent-controlled apartments, so the same cap applies there. The late fee must also come from somewhere: the law sets a ceiling, it doesn’t create a fee your lease never mentioned.
Late fees and Housing Court
Two rules protect you if a late payment turns into a dispute:
- Certified-mail notice. Under RPL § 235-e(d), if the landlord doesn’t receive rent within five days of the due date, it must send you a written notice of nonpayment by certified mail. If it doesn’t, you can raise that failure as a defense in a nonpayment case.
- Only rent counts. Under RPAPL § 702, in a residential eviction case “rent” means only the regular monthly or weekly payment for the apartment. Late fees, legal fees and other charges can’t be sought in that case, even if the lease calls them “additional rent.” The landlord would have to pursue them some other way.
What to do about an illegal late fee
- 1
Check the dates and the math
Confirm the due date in your lease, the date your payment was received, and the maximum fee from the table above. - 2
Ask for a ledger
Request a written rent ledger showing every charge and payment so you can see how fees were applied. - 3
Dispute in writing
Write to the landlord citing Real Property Law § 238-a, state the amount that is over the limit and ask for it to be removed or refunded. Keep a copy. - 4
Keep paying the rent
Pay the rent itself on time while you dispute the fee, so the disagreement can’t become a nonpayment case. - 5
Get help if it continues
If you receive a rent demand or court papers, read the 14-day rent demand guide and look into free legal help through Right to Counsel.
Related reading: got a 14-day rent demand?, Right to Counsel in NYC and lease clauses to read before you sign.
Re-verified 2026-10-12: five-day rule, lesser-of-$50-or-5% cap, 8% co-op maintenance exception, dishonored-check rule and anti-waiver clause checked against RPL § 238-a (revision dated 2025-10-17). $20 dishonored-check amount from GOL § 5-328(3). Certified-mail notice of nonpayment from RPL § 235-e(d). Non-rent charges barred in summary proceedings from RPAPL § 702. Manufactured home park 10-day rule from the AG guide. Example figures are Roofy arithmetic.
Sources
- NY Real Property Law § 238-A: Fees, late charges and dishonored checks · New York State Senate (accessed October 12, 2026)
- NY Real Property Law § 235-E: Duty to provide written receipt; notice of nonpayment · New York State Senate (accessed October 12, 2026)
- NY RPAPL § 702: Rent in summary proceedings · New York State Senate (accessed October 12, 2026)
- NY General Obligations Law § 5-328: Dishonored check charges · New York State Senate (accessed October 12, 2026)
- Residential Tenants’ Rights Guide · New York State Attorney General (accessed October 12, 2026)
General information, not legal, tax or financial advice. Rules change; confirm with the agency or a professional before you act.