Tennessee Statewide Rule

Tennessee Rent Late Fee Limits

Heavy RestrictionsApplies statewide across Tennessee (2026)

Key Facts

Fee cap: 10% of rent past due (66-28-201(d))
Grace period: 5 days, due date included
Weekend/holiday: No fee if paid next business day
Lease term: Must be stated in writing to apply
Applies in: Counties over 75,000 population (URLTA)

Last verified: September 5, 2026

Summary

In URLTA counties, Tenn. Code 66-28-201(d) caps any late fee at 10% of the rent past due and requires a five-day grace period before a fee may be charged. If the grace period ends on a Sunday or legal holiday, no fee applies if rent is paid the next business day.

(d) There shall be a five-day grace period beginning the day the rent was due to the day a fee for the late payment of rent may be charged. The date the rent was due shall be included in the calculation of the five-day grace period. If the last day of the five-day grace period occurs on a Sunday or legal holiday, as defined in § 15-1-101, the landlord shall not impose any charge or fee for the late payment of rent; provided, that the rent is paid on the next business day. Any charge or fee, however described, which is charged by the landlord for the late payment of rent, shall not exceed ten percent (10%) of the amount of rent past due.

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Full Breakdown

Tenn. Code 66-28-201(d), part of the Uniform Residential Landlord and Tenant Act (which applies only in counties over 75,000 population), provides that any late-payment "charge or fee, however described... shall not exceed ten percent (10%) of the amount of rent past due." There is a five-day grace period beginning the day rent was due before a fee may be charged, with the due date counted in the five days. If the last day of the grace period falls on a Sunday or legal holiday, the landlord may not impose a fee provided rent is paid the next business day. A late fee must also be stated in the written lease to be enforceable.

Violations & Penalties

A late fee above the 10% cap, or one charged before the five-day grace period ends, is unenforceable; a tenant may dispute or recover an overcharge and is not obligated to pay an illegal fee.

Frequently Asked Questions

What is the maximum late fee a Tennessee landlord can charge?

In URLTA counties, 66-28-201(d) caps the late fee at 10% of the rent that is past due. A higher fee is not enforceable.

How long is the grace period for rent in Tennessee?

Five days, counting the day rent was due. A late fee can only be charged after the five-day grace period, and if day five is a Sunday or legal holiday, no fee applies if rent is paid the next business day.

Does the late fee cap apply across all of Tennessee?

The statutory 10% cap is part of URLTA and applies only in counties with more than 75,000 people. In smaller counties the lease terms govern, subject to general contract law.

Sources

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