With shared hosting you don't really have an immediate cost if the customer doesn't renew on time. Why penalize them?
They Legally sign and agreed to pay you on time, if they don't pay you then they have to pay a late fee penalty. you will find all utility companies (water, gas, telecom etc.) all do this if you dont pay ontime
With shared hosting you don't really have an immediate cost if the customer doesn't renew on time.
They are taking up space on your server that you could rent to someone else who will pay or are you in a business to give clients free space as they cant pay their bills on time
That is not your problem, buy using your services they accept and agree to your TOS whether they have read them or not.Fact is, people don't really read the terms of service. Most customers won't even know you have a late fee policy. A day or two late they come with intent to pay, see the late fee and now they have 2 options: Pay the invoice inc late fee or move to another provider.
I never once had anyone leave because their invoices had a late fee added, they either paid it or contacted me and i removed it.
The whole point of late fees is not for client to keep paying them, but to make them aware if they dont pay their invoices on time it will cost them more. Mine was set at 20% or £2 whichever was greater.