Late fees are an important aspect of any business's invoicing process. They act as a deterrent to late payments and provide a means of compensation for the additional time and effort required to chase overdue payments. However, the effectiveness of a late fee policy can be greatly influenced by its wording. In this article, we will explore the importance of clear late fee wording, the components of effective late fee wording, tips for crafting your late fee policy, common misunderstandings about late fee wording, and the importance of regularly updating and reviewing your late fee wording.