What is the minimum late fee that Crown Gold Exchange charges?
Crown_Gold_Exchange Franchise · 2024 FDDAnswer from 2024 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| $100 plus interest on | On demand | We may charge a late fee if you fail to | |
| the unpaid amount at | make a required payment when due. | ||
| 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) | |||
| $30 (or, if such | |||
| amount exceeds the | |||
| maximum allowed | |||
| by law, then the | |||
| maximum allowed | |||
| by law) |
Source: Item 6 — OTHER FEES (FDD pages 10–12)
What This Means (2024 FDD)
According to Crown Gold Exchange's 2024 Franchise Disclosure Document, the minimum late fee is $30. Crown Gold Exchange may charge this fee if a franchisee fails to make a required payment when it is due. However, the $30 fee applies only if it does not exceed the maximum amount allowed by law. If the maximum amount allowed by law is less than $30, then Crown Gold Exchange will charge the maximum amount allowed by law.
In addition to the minimum late fee of $30, Crown Gold Exchange may also charge $100 plus interest on the unpaid amount at a rate equal to 18% per year. This interest rate is subject to legal limits, meaning that if 18% exceeds the maximum interest rate allowed by law, Crown Gold Exchange will charge the highest rate allowed by law.
Prospective franchisees should be aware of these potential late fees and ensure they understand the payment terms outlined in the franchise agreement to avoid incurring these charges. It is important to note that these fees are in addition to other fees detailed in Item 6 of the Franchise Disclosure Document.