What interest rate does Learningrx charge on late payments?

According to Learningrx's 2025 Franchise Disclosure Document, franchisees must pay interest on late payments. The interest rate is 1% per month, or the maximum interest rate allowed by applicable law, whichever is less. This applies to any late payments due under the Franchise Agreement, as well as any payments returned due to insufficient funds.

In practical terms, this means that if a Learningrx franchisee is late on a payment, they will incur an additional charge. The exact amount will depend on the size of the payment and the prevailing legal interest rate in their jurisdiction, but it will not exceed 1% per month. This late fee is in addition to any other damages, expenses, collection costs, and attorney's fees that Learningrx may incur as a result of the late payment or insufficient funds.

Franchisees should be aware of this policy and ensure that they make all payments on time to avoid incurring these additional charges. It is also important to understand the applicable laws regarding interest rates in their specific location, as this could affect the amount of interest charged on late payments. This is a fairly standard practice in franchising, as it incentivizes timely payments and compensates the franchisor for the administrative costs associated with collecting late payments.