Add an Interest Charge to a bill payer

TABLE OF CONTENTS

• Introduction
• Add an Interest Charge to a Bill Payer

Introduction

You can add a late payment interest charge from the Raise Interest Invoices screen. You can run this routine either when required or at a regular interval e.g., monthly.

Add an Interest Charge to a Bill Payer

You must set up an Interest Calculation Profile in and link it to a bill payer account before you can calculate late payment interest.

1. Go to Fees>Setup>Interest Calculation Profile.
2. Validate that you have a profile set up or create a new one.
3. Go to Fees>Setup>Parent Defaults and select the billing contact to receive an interest charge in the main grid.
4. Validate that has the correct interest profile set in the Payment and Bank Defaults pane or add the profile and Save.
5. In the Fees>Invoices>Raise Interest Invoices screen, select the bill payer account(s) and enter the invoice date calculation range.
6. Select the Calculate Interest and Discounts button. This will show the interest calculated in the main grid against the account(s).
7. Select those accounts you want to post interest charges for and select the Post Invoices button.

Note: By default, the Raise Interest Invoice routine does not issue an invoice to a bill payer but simply adds the interest charge to their account, which can be seen on their statement or Portal account.

If you need to issue an Invoice to the parent, or a VAT invoice, please enable the option "Rise Interest Charges as Manual Invoice" in the Fees>Setup>Fees Policies screen. The additional invoice options for interest invoices are covered in the Fees Setup guide.

For more information on raising interest invoices, see the Engage Fees Collections guide Raise Interest Invoices section. For more information on setting up interest profiles and linking them to bill payers, see the Engage Fees Setup guide.