Penalty for Late Payment. There shall also be imposed upon BORROWER a 2% penalty for any late payment computed upon the amount of any principal and accrued interest whose payment to LENDER is overdue under this Agreement and for which LENDER has delivered a notice of default to BORROWER. For example, if the agreement calls for monthly payments of $500 upon the first day of each month and BORROWER fails to make timely payment of said amount, BORROWER (after receipt of a default notice from LENDER) shall be liable to LENDER for a penalty of $10 (i.e., $500 x 2%) and, to cure the default, the BORROWER must pay to LENDER the overdue loan amount of $500, interest upon the overdue loan amount, and a penalty of $10.
Appears in 3 contracts
Samples: Fourth Loan Agreement and Promissory Note (We Save Homes, Inc.), Fourth Loan Agreement and Promissory Note (We Save Homes, Inc.), Fifth Loan Agreement and Promissory Note (We Save Homes, Inc.)
