Finance Charges

Go To User Guide - Accounts Receivable

Accounting>File>Accounts Receivable>Finance Charges

If finance charges are added to delinquent accounts, this routine should be run before printing monthly statements.

Preview Finance Charges

File>Accounts Receivable>Finance Charges>Preview Finance Charges

This will print a report of all invoices that are eligible for a finance charge. 

Field	Explanation
Statement Date	Enter the date of the statements for printing purposes.
Finance Charge Date	Delivery dates during or before this specified date will receive a finance charge.
Finance Charge Percentage Rate	Enter the finance charge percentage to be calculated.
All/Single Stores	Click the Tag All button to compute finance charges to all stores or single-Click one or more single store codes to compute finance charges for a single store or a combination of stores.
Customer Types
Compound	A choice of whether to compound finance charges is available.  Compounding finance charges are not permissible in all areas, so check with an accountant. Orders that are flagged as "ON HOLD" in Order Entry will not have finance charges computed.
Print Preview	Click in this box to display the report on the screen before sending it to the printer.

 Tips:

• It is possible to compute finance charges more than one time in any given month. 
• If a single store is selected, use caution in subsequent processing so that the single store is not processed twice.
• When statements are printed, only the last assessed charge will show as current charges, including duplicate charges performed in one month.
• When generating the list of orders to apply finance charges, the system will look at the Term Days on the customer record. If the term days have not passed (based on the current date), then the invoice will not show in the list.

Posting Finance Charges

Accounting>File>Accounts Receivable>Finance Charges>Post Finance Charges

How To:

1. Start by entering the statement date, the finance charge date, General Ledger post date, and the finance charge percentage.
2. Select the stores codes and customer types the charge will apply.
3. Select the Process button.
   
4. The list of corresponding invoices will be populated and the new invoice balance will then be listed, reflecting the amount of the finance charge.
   
5. Review the report and identify invoices needing finance charges. Use the Tag All button to tag all records listed based on the date parameters entered. Use the Tag One button to or single-click individual customer invoices to select only some of the records.
6. Select the Post button to post the finance charges.
   

 Tips:

• The account code for finance charges, as set up in the standard account codes, will be credited, and Accounts Receivable will be debited for the same amount.
• After posting the charges, the system will automatically print a report listing those invoices that had finance charges posted to them. This report will be identical to the Preview Finance Charges report described above, with the exception that the finance charges will be totaled.  Some people prefer to keep an electronic document rather than a paper document. To accomplish this, RFMS now allows choosing the printer at the time of printing or choose to send this to Adobe to save it as a pdf file.
• Statement Date, Finance Charge Date, and General Ledger Date cannot be more than 30 days in the future.
• The Columns on the Post Finance Charges Browse screen can now be sorted as of version 18.0

Un-posting Finance Charges

Accounting>File>Accounts Receivable>Finance Charges, Unpost Finance Charges

This selection allows un-posting all finance charges based on the General Ledger posting date that was entered when the finance charges were first posted. If installed, the General Ledger must be open for the month entered.