Document Updates: Late Fee Language on FHA and VA Promissory Notes
24 CFR § 203.25 and FHA Single Family Handbook 4330.1 REV-5, ch. 4-2 allow mortgagees to charge a late fee of four percent of any full monthly mortgage payment (principal, interest, taxes, and insurance) that is delinquent, subject to any state law which restricts late fees to a smaller amount….