Configure an overdue charge code

In this window, you configure an overdue charge code that defines the calculation method, the criteria of collecting charges, and the type of charge collection (fixed amount or percentage).

1. Go to the Overdue charges (AR204500) window.
2. Click add a new code.
3. In the Overdue charge ID field, type an ID for your code.
   Have a look at the existing codes before you decide on a number or text, so that you don't use the same as an existing ID. You can use both numbers and letters.
4. Optional: Enter a Description and select a Calculation method.
   For more information about each calculation method, see About overdue charges.
5. In the Terms field, select the terms for the payment.
6. Optional: select the Base currency check box if you want the system to calculate the overdue charge by using the base currency.
   
7. In the Overdue charge account field, select an overdue charge account.
8. In the Overdue charge subaccount field, press F3 to choose a subaccount. If you do not use subaccounts, press and hold 0 until all sections in the field are filled.
9. Optional: In the VAT code field, select the VAT category.
10. Optional: If your company charges an overdue fee, in the Overdue fee settings section, enter the following details:
    • In the Fee amount field, type the amount of the overdue fee.
    • In the Fee account field, specify the account to which the overdue fee should be recorded.
    • In the Fee subaccount field, specify the subaccount to which the overdue fee should be recorded.
    • In the Fee description field, type the description of the overdue fee.
11. In the Charging settings section, do the following:
    • In the Total threshold field, specify the amount of the overdue charges that should initiate the generation of a document of the Overdue charge type.
    • In the Charging method field, select the method that the system should use to charge overdue documents.
      The following options are available:
      • Fixed amount:
        If you select this option, you need to specify the fixed amount in the Amount field, which appears when you select the Fixed amount charging method.
      • Percent with threshold:
        If you select this option, you need to specify the percentage in the Rates table and the threshold amount in the Threshold field.
        Both of these elements appear once you select the Percent with threshold charging method.
      • Percent with min. amount:
        If you select this option, you need to specify the percentage in the Rates table and the minimum charge amount in the Min. amount field.
        Both of these elements appear once you select the Percent with min. amount charging method.

      For details, see: About overdue charge code definition.

What is next?

Make overdue and dunning settings in the Customer ledger preferences