Texas Late Fee Calculator
Calculate late fees and interest on overdue invoices in Texas — pre-set to the state's 6% statutory default rate.
Late fee rules in Texas
Statutory interest rate
6% per year when no rate is agreed — and it accrues only from the 30th day after the amount is due. The post-judgment rate (absent a contract rate) floats at the Federal Reserve prime rate with a 5% floor and 15% ceiling, set monthly.
Tex. Fin. Code § 302.002 (legal rate); § 304.003 (judgment rate)
Can you charge more? (contract & caps)
The contract controls for B2B invoices, but charges that count as interest above the applicable usury ceiling (generally 18% floating up to 24%, and up to 28% for commercial credit under § 303.009) are usurious, with treble-interest penalties under ch. 305.
Prompt payment rules
Private construction: overdue payments accrue 1.5% per month under Tex. Prop. Code ch. 28. Government entities owe prime (WSJ rate on July 1) plus 1% under the Texas Prompt Payment Act, Gov't Code ch. 2251.
Worth knowing
The 6% statutory rate doesn't start until the 30th day after the amount is due — unpaid Texas invoices carry a built-in 30-day interest-free window when no rate was agreed.
This page is general information, not legal advice. Statutory rates change — some reset annually or quarterly — and how they apply depends on your contract and situation. Verify current rates against the cited statutes or consult a lawyer before charging interest.
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