Late Rent Fee Limits in Colorado
At a glance
| Governing law | C.R.S. § 38-12-105 — a dedicated residential late-fee statute (added 2021 by SB 21-173, eff. Oct. 1, 2021) covering tenants and mobile home owners |
|---|---|
| Maximum late fee | The greater of $50 or 5% of the past-due rent payment — § 38-12-105(1)(b). Note 'greater of,' not lesser |
| Grace period | 7 calendar days. No fee 'unless a rent payment is late by at least seven calendar days' — § 38-12-105(1)(a) |
| Lease or notice requirement | Required. No late fee unless it is disclosed in the rental agreement (§ 38-12-105(1)(c)); a lease term that violates the statute is void and unenforceable (§ 38-12-105(2)) |
| One-time or recurring | Once per late payment, unless stacked fees still stay within the $50/5% cap (§ 38-12-105(1)(g)); no interest on a late fee (§ (1)(h)); the fee is forfeited if written notice is not given within 180 days (§ (1)(j)) |
| Calculated on | The 5% runs on 'the past due rent payment,' not the full month's rent (§ 38-12-105(1)(b)(II)); no late fee on the portion of rent a rent-subsidy provider pays (§ (1)(f)) |
| Related fees & carve-outs | Subsidy-share carve-out (§ 38-12-105(1)(f)); a late fee is distinct from rent and cannot be classed as rent for the nonpayment eviction notice (§ (7)); no eviction or lease termination for unpaid late fees (§ (1)(d), (e)); no recoupment of a fee from a rent payment (§ (1)(i)) |
| If the fee is unlawful | Void lease term plus injunctive relief (§ 38-12-105(2)); $50 per violation (§ (3)); seven days to cure after notice (§ (4)); if uncured, a civil action for damages, a $150–$1,000 penalty per violation, costs and reasonable attorney fees, and equitable relief (§ (5)); and an affirmative defense in an eviction case (§ (6)) |
Requirements one by one
The cap: the greater of $50 or 5% of the past-due rent
Colorado limits a residential late fee to a hard maximum. Under C.R.S. § 38-12-105(1)(b) a landlord may not charge a fee "in an amount that exceeds the greater of: (I) Fifty dollars; or (II) Five percent of the amount of the past due rent payment."
The word that trips people up is "greater." On rent under $1,000 a month the $50 floor controls; above $1,000 the 5% figure is larger and controls. The 5% is measured on the past-due rent — the amount actually unpaid — not automatically on the full month's rent.
Rent must be at least seven days late first
A fee cannot attach the moment rent is a day late. Section 38-12-105(1)(a) bars a late fee "unless a rent payment is late by at least seven calendar days." If rent is due on the 1st, a fee cannot be charged until at least the 8th.
It has to be in your rental agreement
There is no default statutory late fee. Under § 38-12-105(1)(c) a landlord may not require a late fee "unless the late fee is disclosed in the rental agreement," and § 38-12-105(2) makes any lease provision that does not comply with the statute "void and unenforceable." A late-fee term that is missing, or that exceeds the cap or skips the grace period, cannot be enforced.
What a landlord may not do with a late fee
Section 38-12-105(1) also draws several bright lines around the fee itself:
- No eviction for unpaid late fees. A landlord may not remove a tenant, or start a court process to remove one, because the tenant did not pay a late fee (§ (1)(d)), and may not terminate a tenancy for the same reason (§ (1)(e)).
- A late fee is not rent. Subsection (7) says a late fee "is distinct from rent" and a lease may not classify it as rent for the nonpayment eviction notice under § 13-40-104(1)(d) — so a landlord cannot fold late fees into the amount demanded in a pay-or-quit notice.
- Subsidy share is protected. No fee may be charged on the portion of rent a rent-subsidy provider (not the tenant) is responsible for paying (§ (1)(f)).
- One fee per late payment. A fee may be charged only once for each late payment, unless several fees together still fit within the $50/5% cap (§ (1)(g)).
- No interest, no recoupment. A landlord may not charge interest on a late fee (§ (1)(h)) or take a late fee out of a rent payment (§ (1)(i)).
- 180-day notice or the fee is lost. A late fee cannot be charged unless the landlord gave the tenant written notice of it within 180 days after the rent was due (§ (1)(j)).
If the fee is unlawful
The statute gives the tenant real teeth. A noncomplying lease term is void, and the tenant can seek an injunction (§ 38-12-105(2)). A landlord who violates the section owes the tenant a $50 penalty per violation (§ (3)), and then has seven days to cure after receiving written or electronic notice (§ (4)). If the landlord does not cure, the tenant may bring a civil action for compensatory damages, a penalty of "at least one hundred fifty dollars but not more than one thousand dollars for each violation," costs and reasonable attorney fees, and other equitable relief (§ (5)). A tenant may also raise a violation as an affirmative defense in an eviction (forcible entry and detainer) case (§ (6)).
What trips people up
"Greater of," not "lesser of." Some lease forms and fee calculators state the cap as the smaller of $50 or 5%. The statute says the opposite — the fee may be as high as whichever of the two is larger. A form that uses "lesser of" misstates the ceiling.
The seven days are calendar days. Weekends and holidays count. Do not confuse this seven-day fee grace period with the ten-day demand a landlord must give before an eviction for unpaid rent — those are separate clocks.
Late fees can't be bundled into an eviction demand. Because a late fee is not rent (§ 38-12-105(7)) and cannot support eviction (§ (1)(d)), a pay-or-quit demand that lumps late fees into the amount owed can be defective.
Common questions
**What is the most my landlord can charge? ** The greater of $50 or 5% of the past-due rent. On $1,500 rent, 5% is $75, so the cap is $75; on $600 rent, 5% is $30, so the $50 floor applies.
How many days do I have before a late fee? At least seven calendar days after the rent due date (§ 38-12-105(1)(a)). Your lease can give more time but not less.
Can I be evicted for not paying a late fee? No. Section 38-12-105(1)(d) and (e) bar eviction or termination for unpaid late fees, and subsection (7) keeps late fees out of the rent figure in a nonpayment notice. Unpaid rent is a different matter.
What if the landlord broke these rules? You can demand a cure, and if the landlord does not fix it within seven days you may sue for damages, a $150–$1,000 penalty per violation, and attorney fees, or raise it as a defense if the landlord tries to evict (§ 38-12-105(3)–(6)).
Statutes and sources
- C.R.S. § 38-12-105 — late fees charged to tenants and mobile home owners:
the seven-day grace, the greater-of-$50-or-5% cap, the disclosure requirement,
the prohibited acts, and the penalties and remedies.
(1) A landlord shall not take any of the following actions ... (a) Charge a tenant or home owner a late fee unless a rent payment is late by at least seven calendar days; (b) Charge a tenant or home owner a late fee in an amount that exceeds the greater of: (I) Fifty dollars; or (II) Five percent of the amount of the past due rent payment; (c) Require a tenant or home owner to pay a late fee unless the late fee is disclosed in the rental agreement; ... (3) A landlord who violates subsection (1) of this section shall pay to an aggrieved tenant or home owner a penalty in the amount of fifty dollars for each violation. (4) ... a landlord who violates subsection (1) of this section has seven days to cure the violation ... (5) If a landlord ... fails to timely cure ... a tenant or home owner may bring a civil action to seek one or more of the following remedies: ... (b) A penalty of at least one hundred fifty dollars but not more than one thousand dollars for each violation ...; (c) Costs, including reasonable attorney fees to the prevailing party ... (7) A late fee is distinct from rent, and a rental agreement may not classify a late fee as rent for the purposes of section 13-40-104 (1)(d).
Official source (Colorado Revised Statutes 2025, Title 38, § 38-12-105): https://olls.info/crs/crs2025-title-38.pdf (accessed 2026-08-17)
Source links
Every statute quoted above, linked, with the date we checked it.
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