Texas Late Fee Laws

How Texas compares

16 of 51 US jurisdictions cap late fees by statute (as a percentage, dollar amount, or formula); the rest rely on reasonableness standards or set no limit. Here is how Texas compares with other states in our database.

Frequently asked questions

Is there a limit on late fees in Texas?

Texas law requires late fees to be reasonable rather than setting a flat cap — must be reasonable — roughly 10–12% of monthly rent is typical. Late fee must be reasonable. For rent, a reasonable late charge is typically no more than 10-12% of the monthly rent. Texas Property Code Section 92.019.

Is there a grace period before late fees in Texas?

Yes — Texas generally provides a 2-day grace period before a late fee can be charged (see the rent grace period guide for the conditions).

Can I dispute an excessive late fee in Texas?

Yes. Fees that are disproportionate to the landlord's actual costs can be challenged as unreasonable penalties.