Overdue charges (AR204500)

This topic gives you information about the elements that you find in this window in Visma.net ERP, such as fields, field values, buttons, and check boxes.

In this window, you can define overdue charges to be used for late payments in the collection process.
You define the overdue charges by creating overdue charge codes.
You can create as many overdue charge codes (particular overdue charge entities with its own settings) as needed.
For details, see: About overdue charges.

Before you create an overdue charge code, you need to create appropriate payment terms by using the Payment terms (CS206500) window that define the due date for paying the documents of the Overdue charge type.

This window is available if the Overdue charges functionality is enabled in the Enable/disable functionalities (CS100000) window.

If you are in the list window, the first line in the table is a search line. Each column has a search field which you can click to search for or filter on specific values and narrow down the displayed table rows. You can search and filter in as many columns as you need to, to only display the results you want to view.

There are two types of search fields:

  • White: here you can type a specific search term to display results in this column containing this exact value. If you search on several (partial) words, you can separate them by a space or % and get different results:

    • space: the result contains the words in any order,

    • %: the result contains the words in the specific order, and the % functions as a wildcard as well.

  • Grey: you can click this to open the column filter pop-up window where you can filter the results for this column.

This section contains several sections with various information about the overdue charges.
You use the elements in this section to define a new overdue charge code and its settings, or to select an existing code and view its settings.

Element Description

Overdue charge ID

The unique ID for the overdue charge code. You can use up to 10 characters, both numbers and letters.
Description A description of the overdue charge code. You can use up to 30 characters, both numbers and letters

Calculation method

The way the system calculates charges for overdue documents. The following options are available:
  • Interest on open entries:
    The overdue document is subject to charges until it is closed.
    To calculate the charges for the days past due, the system uses the document's open balance as of the date of calculation.
    If overdue charges have been recorded for the document, the system calculates the charges for the number of days since the date of the last overdue charges.
  • Interest on open, partially paid, and paid entries:
    The overdue document is subject to charges until it is closed.
    To calculate the charges for the days past due, the system uses the document’s open balance for each of these days.
    If overdue charges have been recorded for the document, the system calculates the charges for the number of days since the date of the last overdue charges.
  • Interest on paid entries:
    The overdue document becomes subject to charges at the moment it is closed.
    To calculate the charges for the days past due, the system uses the document’s open balance for each of these days.

Terms

The payment terms that apply to generated documents of the Overdue charge type.
You create payment terms by using the Payment terms (CS206500) window to provide a schedule for paying this overdue charge.

Base currency

A check box that indicates (if selected) that the system will calculate the overdue charge by using the base currency.
If the check box is cleared, the system will calculate the overdue charge by using the currency of an overdue document.

The account to which collected overdue charges are recorded.

Overdue charge subaccount

The corresponding subaccount.

VAT category

The VAT category, if applicable to this overdue charge and overdue fee (if any).

You use the elements in this section to define an overdue fee that is associated with the selected overdue charge code.

Element Description

Fee amount

The amount of the fee for an overdue charge document (if your company charges any).
If the Base currency check box is selected, the fee is charged in the base currency.
If the check box is cleared, the fee is charged in the currency of the overdue document.

The account to which the overdue fee is recorded.

Fee subaccount

The corresponding subaccount.
Description

A description of the overdue fee.

This field supports the multi-language functionality, where you can translate the entered text to multiple languages. For more information, see:About multi-language support

You use the elements in this section to define the criteria the system uses for generating a document of the Overdue charges type.

Element Description

Total threshold

The minimum amount of overdue charges that should initiate the generation of a document of the Overdue charge type.

Charging method

The way the system charges an overdue document.
An overdue charge can be defined either as a fixed amount or as a percentage (annual rate) on a document's open balance for the number of days late.
The following options are available:

  • Fixed amount:
    The system charges overdue documents for a fixed amount.
    You specify the fixed amount in the Amount field, which appears when you select the Fixed amount charging method.

  • Percent with threshold:
    The system calculates the overdue charge as a percentage of the document's open balance for the number of days late.
    (You specify the percentage in the Rates table, which appears once you select this charging method.)
    Then the system compares the calculated overdue charge amount with the threshold amount (which you enter in the Threshold field) and does either of the following:
    • If the amount of overdue charges is less than the specified threshold amount, the system does not charge the document.
    • If the amount of overdue charges is greater than or equal to the threshold amount, the system charges the document for the calculated charge amount.
  • Percent with min. amount:
    The system calculates the overdue charge as a percentage of the document's open balance for the number of days late.
    (You specify the percentage in the Rates table, which appears once you select this charging method.)
    Then the system compares the calculated charge amount with the minimum amount (which you enter in the Min. amount field) and does either of the following:
    • If the amount of overdue charges is less than the minimum amount, the system charges a document for the minimum amount.
    • If the amount of overdue charges is greater than or equal to the minimum amount, the system charges a document for the calculated charge amount.
Amount

The amount that the system uses as the fixed charge amount for overdue documents when the Fixed amount charging method is applied.

This field is available if the Fixed amount option is selected in the Charging method field.

Threshold

The threshold amount of overdue charges, which defines whether to charge an overdue document when the Percent with threshold charging method is applied.

This field is available if the Percent with threshold option is selected in the Charging method field.

Min. amount

The minimum amount that the system uses to charge an overdue document when the Percent with min. amount charging method is applied.

This field is available if the Percent with min. amount option is selected in the Charging method field.

You use the elements in this table to define rates and their effective start date.
The system uses the percent rate in the row that has the most recent start date at the time of overdue charge calculation.
This table is only available if the Percent with threshold or Percent with min. amount option is selected in the Charging method field.

Element Description

Start date

The date when the rate in this row becomes effective.

Percent rate

The annual percentage rate to be used to calculate an overdue charge.

Related concepts

About types of customer ledger documents

Configure and apply overdue charges

About overdue charges

Process invoices - overview

Example of how to apply calculation methods

About the criteria for creating an overdue charge document

About overdue charge code definition

Manage credit policy - overview

Related tasks

Calculate overdue charges

Configure an overdue charge code

Related windows

Calculate overdue charges (AR507000)

Customer ledger preferences (AR101000)

Sales invoices (AR301000)