What is the insufficient funds fee charged by Crave Cookies Franchising?
Crave_Cookies Franchise · 2025 FDDAnswer from 2025 FDD Document
100 "late fee" plus interest on the unpaid amount at a rate equal to 18% per year (or, if such payment exceeds the maximum allowed by law, then interest at the highest rate allowed by law).
- (d) Insu
Source: Item 22 — CONTRACTS (FDD page 47)
What This Means (2025 FDD)
According to Crave Cookies' 2025 Franchise Disclosure Document, if a franchisee's payment is returned due to insufficient funds, Crave Cookies Franchising may charge a fee of $30. However, this fee is subject to legal limitations, stating that if such amount exceeds the maximum allowed by law, then the fee will be the maximum allowed by law.
This means that if a franchisee's payment bounces, they will incur an additional cost. It is important for franchisees to ensure they have sufficient funds available when making payments to Crave Cookies Franchising to avoid this fee.
Franchisees should be aware of the potential for this fee and understand the importance of maintaining adequate funds in their account to cover payments. This is a fairly standard practice in franchising and business in general, as it compensates the franchisor for the administrative costs and inconvenience associated with handling a returned payment.