My payment for rent bounced last month and the property management is attempting to charge me 5% of my rental amount. Is it legal??
Family Law Attorney
GA Code 13-6-15(b) provides: "The payee may charge the maker of the check, draft, or order a service charge not to exceed $30.00 or 5 percent of the face amount of the instrument, whichever is greater, plus the amount of any fees charged to the holder of the instrument by a bank or financial institution as a result of the instrument not being honored, when making written demand for payment."
This means that the entity that received your bounced check is allowed to charge 5% of the check amount. If they had chosen, they would also have to right to charge additional penalties.