How are late fees calculated?
Late fees are calculated on a daily prorated basis using the formula:
Rental price ÷ [7 or rental period days, whichever is higher] = daily late fee
For example, a $50 rental for 3 days would generate a late fee of $7.14 per day (rental price ÷ 7). A $50 rental for 10 days would generate a late fee of $5.00 per day (rental price ÷ 10).
If the original rental period is shorter than 7 days, the daily late fee is always calculated using 7 as the divisor. If the rental period is longer than 7 days, the rental period length is used instead.
Late fees are charged each day until a return is scheduled, for a maximum of 7 days. Late fees stop accruing once the item is marked as returned in the system.
How do I turn on late fees?
Open the order page for the rental
Toggle on "Charge Late Fees"
Once toggled on, the Renter will be charged the daily late fee automatically until the item is returned. You can do this as soon as the rental period ends — you do not need to wait or contact the Renter first, though we always recommend reaching out through the app as a first step. Late fees begin accruing from the rental end date, not the shipment date.
When do I receive late fee payments?
Late fees are paid out on a daily basis as they accrue — each day's fee is added to your balance individually, not as a lump sum at the end. They are subject to the same 20% platform fee as standard rental earnings.
What happens after 7 days?
After 7 days of late fees, Pickle will begin an investigation to determine whether the item has been lost or stolen. At this point:
Contact Pickle Support if you have not already done so
Pickle will attempt to reach the Renter
If the item remains unreturned, the Renter will be charged the replacement value and Pickle will work to replace your item once proof of value is provided- The owner can mark the item as stolen if it remains unreturned after the late fee period.
Can I charge late fees on a rental that has already been returned?
No. Late fees can only be applied to an active rental where the item has not yet been returned. Once an item is marked as returned, late fees can no longer be applied retroactively.
A note on extensions
If a Renter asks for more time and you are happy to accommodate, you can approve a rental extension through the app. Once an extension is approved, late fees will not apply for the extended period. Only charge late fees if you have not agreed to an extension.
What if the item is delayed by the carrier?
Renters are not responsible for late fees if the item is delayed due to carrier issues after it has been handed over for shipment.