The purpose of this article is to explain the behavior of late fees: how the late fee amount is calculated, when they're generated, and how to change settings at the bill profile, product type, or customer-level to change late fee behavior.
All day every day, Rev.io is continuously sifting through overdue statements to determine whether it's time to generate a late fee for any bills in your system. There will never be more than 1 late fee generated for any 1 statement.
Below are the default criteria by which Rev.io checks for outstanding late fees to generate:
This assumes that the bill profile does not have any 'exceptions' configured.
- The customer must not be in a 'CLOSED' status.
- The customer is a parent or standard account.
- A product type with the code 'Onetime - Late Fee' must exist in the system (Settings -> Product Types)
- The customer must not be set to late fee exempt (Edit Profile).
- The statement's balance must be greater than or equal to the late fee minimum on the bill profile.
- The statement's due date plus the late fee days on the bill profile must be less than or equal to the current date.
- A late fee must not already have been applied to the statement.
- The statement cannot be the first statement ever created on the customer's account.
- The bill profile must not have any 'late fee exceptions' configured.
Below is the formula used to calculate the late fee amount on the fees that are generated. Values encased in brackets, "", are set on the bill profile.
Apply Per Line UNCHECKED
Things to Consider
Changes to late fee configuration settings take effect immediately and will not apply retroactively. You can adjust how new late fee charges are taxed in your system by modifying the tax class associated with the 'Onetime - Late Fee' product type under Settings -> Product Types.