1 Topic by sidneyrees (edited by sidneyrees 10/17/2013 08:00:01 pm)

  • Registered: 10/17/2013
  • Posts: 3

Topic: Apply interest charges to overdue payments

Hello, hope you can help me.

I have three questions:

A.- How to setup FA to automatically apply interest charges when Payment is overdue? (Related to payment terms)

B.- How to setup FA to automatically apply interest charges when Customer Credit limit is exceded?

C.- How to setup FA to automatically add interest charges from overdue payments on the next recurrent invoice?


Currently, we have an implementation of FA with several customers in the system. We setup their accounts with 1,000 credit limit and 10 days payment term.

Some of them have exceded their credit limit and other have overdue payments; now we are trying to find out how to setup FA to automatically apply the interest charges to those customer.

Also, we would like to add a line item, subtotal or description with the interest charges generated on future recurrent invoices until the balance is positive again.


We have searched the wiki, the forum and googled it but we found a few related topics yet we haven't found a solution for this issue.

In the wiki, we read:

"Legal Text on Invoice - Any legal text, like terms and interest charges for overdue payments, which you want included on all invoices."

I do understand this options is to edit the text that will show up on invoices but, how do we set up the interest charges so they are automatically calculated?

  • Registered: 10/17/2013
  • Posts: 3

Re: Apply interest charges to overdue payments

Anyone? This is important and I haven't found a solution yet sad

  • elax
  • Senior Member
  • Offline
  • From: UK
  • Registered: 05/17/2011
  • Posts: 326

Re: Apply interest charges to overdue payments

I think this is out of the scope of FA and that you'll have to calculate the interest manually, then enter the invoice in FA.

/Elax

  • tm
  • Senior Member
  • Offline
  • From: Sweden
  • Registered: 05/13/2013
  • Posts: 142

Re: Apply interest charges to overdue payments

I think Elax is right, but you could script it using a daily cron job.

Query the database for overdue payments (or customers whose credit exceed the limit), and add or update an "interest" item with a percentage of the amount. Directly against the database, or using some suitable api. In the worst case you could always script a session using curl.

  • From: Singapore, India, Chennai
  • Registered: 05/02/2009
  • Posts: 6,094

Re: Apply interest charges to overdue payments

A trigger can be setup in the database that runs when a certain condition is met. This trigger can auto populate the interest records.

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