Surcharge For Accounts Going To Collection

[familyschoolcare]

So if I have an account that i send to collection how much of a surcharge can I add to it. Thought i heard of someone saying their contract had a %50 surcharge for this, is that legal? what is the most I can charge. I am located in the state of California if that makes any difference.

[TomCopeland]

There is no federal law about charging surcharges to delinquent accounts. States may have their own laws on this - contact the state attorney general office for the law in California.

[familyschoolcare]

Thank you!