SedonaSetup Application  Accounts Receivable Setup Tables/Options

Late Fee Rules

Late Fees may be assessed on a customer account if they become delinquent.  There are two methods of charging late fees in SedonaOffice.  The first is done by running the Finance Charge program from the accounts receivable menu which will create and post an invoice to the customer account based on the rules that you input.  The second method is to calculate a late fee based on the current aging of the customer invoices and then print this late fee on a customer statement or the invoice/statement form when you print your cycle invoices or bulk statements.  This second method will not create an invoice or post to the general ledger.  If the customer pays the late fee, you may post the cash to a miscellaneous income account.  If the customer never pays the late fee, there is no action required to remove any late charges from the customer’s account.

The Late Fee Setup form contains values that will default into either the Finance Charge program, Statement Generation program or the Invoice/Statement printing form.  You may change these values, if desired, prior to processing the late fees or finance charges.

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