What is the maximum amount that a lender can charge as a late fee for mortgage payments?

In South Carolina, the maximum late fee that a lender can charge for mortgage payments is established by state regulations, which typically allow lenders to assess a late fee that does not exceed a certain percentage of the overdue amount or a flat dollar amount. The correct answer indicates that the maximum amount is $100 per day, which aligns with the regulatory standards set forth in the state.

This limit is specifically designed to protect borrowers from excessively punitive fees that could arise from late payments. It is important for mortgage loan originators and borrowers alike to understand these limits to ensure compliance with state laws and to be aware of the financial implications associated with late mortgage payments. The other amounts listed are not consistent with the state regulations, making the correct answer significant in maintaining lawful lending practices.