If enabled, MicroBiz will calculate monthly finance charges on outstanding balances according to your specifications. To configure this feature:
Figure 10-4
- From the main menu, click on Management | Custom System Settings | Transaction Settings.
- Click on the Fin. Charges tab.
- Here are the settings to be configured:
- Charge Finance Charges – Check this box to turn finance charges on.
- Days Grace Period – Set the number of days on outstanding invoices before finance charges will start being applied (the default setting is 30).
- Day of Month to Post – Enter the day of each month you want MicroBiz to calculate any finance charges (the default setting is 1).
- Monthly Finance Charge – Set the percentage (as a decimal) you will be charging. For example, a setting of .100 would mean a 10% monthly charge.
- Compound Interest – If enabled, MicroBiz will include previous finance charges when calculating the charge for the current month. If disabled, MicroBiz will only calculate finance charges on the current balance due.
If you will be using the Finance Charge feature in MicroBiz, make sure that you enable this option on one workstation only! Select the workstation that will be used for running Customer Statements, and make sure that the Charge Finance Charges option is not enabled on any other PC.
- If multiple workstations have this enabled, they might interfere with each other when calculating the Finance Charges.
- Please refer to Chapter 3 - Customizing Your Software for further details on customizing these settings.