If you are going to charge finance charges on outstanding balances, you must set up at least one finance charge code. Each code describes the finance charge rate charged.

Code
Enter the number of the finance charge code. Use "1" as the first and default code. There are 5 different finance charge codes available. (1-5).

Charge on invoices xx days overdue
Enter the number of days overdue an invoice must be before a finance charge will apply to it. An invoice will have to be at least this number of days overdue before it will have a finance charge calculated for it.

Annual Pct Rate
Enter the annual percentage rate to charge overdue invoices. This rate is broken down by the system into a daily rate that will be calculated for each day an invoice is overdue.

Minimum Finance Charge
If you want to set a minimum amount that will be assessed as a finance charge, enter the amount here. Any calculated finance charge that falls below this threshold will be changed to this minimum.

Charge Interest on Finance Charges
The system will include past finance charges in the overdue balance if this option is checked.

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