Mass Creation Of Finance Charge Memos

Creating finance charge memos is possible by manually running the task Create Finance Charge Memos in which the user can filter customers or customer ledger entries by any field and criterion. For example, it is possible to generate finance charge memos only for 1 specific customer contract or only for selected types of documents, etc.

The task can be started by pressing the Create Finance Charge Memos In the Process From the overview Penalty, which is located in the menu.

After confirming the selection, the system displays a dialog window in which the user can enter the parameters for filtering.

Options Tab

• Posting Date

  • User enters the posting date of the document for finance charge memos (penalty invoices)

• Document Date

  • User enters the document date for finance charge memos (penalty invoices)

• Release

  • Changes the user to Yes if he/she wants the created finance charge memo to be issued (posted) by the system

• Interest Calculation

  • Editable only if the penalty is triggered from the contract card

  • Values:

    • Empty

    • Open Entries

    • Closed Entries

    • All Entries

  • The analogy is on Finance Charge Terms Code (Finance Charge Terms) field Charge Calculation (Interest Calculation)

  • If the generation of finance charge memos is triggered:

    • From a function funding contract Create Fin. Charge Memo

      • By default, the field is filled with = Open Items (first value)

      • The field is editable, the user has the option to select a different value. Then the finance charge memo creation task (CodeUnit 394 FinChrgMemo-Make) does not take into account the value of Finance Charge Terms Codebut the value selected in the dialog box

    • From Finance Charge Memo List

      • The field is empty and non-editable

      • In this case, the system follows the settings from the Finance Charge Terms Code of the contract.

Filter: Customer

• The user can enter a filter for the customer, for example, by his number (penalization for only one customer) or by any field from the table Customer.

Filter: Customer Entry

• The user can specify a filter on the customer ledger entries that he wants to be penalized. Preset field for filtering:

  • Document Type

    • The user can select from:

      • Payment

      • Invoice

      • Credit note

      • Penalty

      • Reminder

      • Refunds

  • Contract Code

    • A user can enter one or more contracts (separated by "|") for which he wants to trigger a penalty

• If necessary, the user can specify any additional filter on the customer ledger entries from the available fields.

After confirming the button OK The system goes through overdue customer entries and calculates finance charge for the period since the due date of the item, or for the period since the last penalty, based on the data on the penalty history.

When creating penalty invoices, it takes into account the Suggest Finance Charge Memos for Contract in OneCore Setup. If the value of the field is:

• Yes

  • The system goes through all customer ledger entries where the following field is filled in:

    • API Fin. Charge Terms Code

    • Contract Code

    • API Fin. Charge Memos Blocking = No

  • Creates finance charge memos for each contract separately

  • In the case of mass invoices, the value of the Contract Code field is MASS, i.e. the same field value is also on the customer ledger entry. These items will be included in one penalty invoice for the customer, i.e. all items with the value of the field Contract code = MASS are penalized as under one contract with the "number" MASS

• No

  • The system filters customers with the field filled in Finance Charge Terms Code and goes through the customer's individual items

  • Creates separate finance charge memos for the customer based on:

    • Finance Charge Terms Code

    • Currency Code

    • E.g. if the customer has contracts

      • In a local currency with two different finance charge terms codes, the system creates two finance charge memos

        • Local Currency and 1st Finance Charge Terms Code

        • Local currency and 2nd finance charge terms code

      • In both local and foreign currencies with two different finance charge terms codes, the system creates 4 finance charge memos:

        • Local Currency and 1st Finance Charge Terms Code

        • Local currency and 2nd finance charge terms code

        • Foreign currency and the 1st finance charge terms code

        • foreign currency and 2nd finance charge terms code

After completing the task, the user will find the created finance charge memos (invoices) in the list Penaltyfrom which to run the task. Suggested finance charge memos can be manually edited (remove penalty items).

The user can remove Any line from the finance charge memo or the entire penalty invoice by deleting the record, marking the relevant penalty invoices, and confirming the function Remove.

If a finance charge text with a variable (e.g. %1) is set on the finance charge condition, after deleting/changing a line on a specific penalty invoice, it will update this variable by pressing the Update Finance Charge Text.

Calculation of the number of days for penalty

• Closed Entries

  • When going through the detailed entries (original entry and settlement) of the customer entry, i.e. the invoice that is being penalized, the system sums up the settled amount and at the same time notes the date of the last settlement

  • If the summed amount is the same as the original invoice amount, i.e. the entire invoice is settled, the Number of Days is calculated as the difference between the settlement date and the penalty start date. Owed To is then the date of the last settlement

• Open Items

  • If the accumulated amount is not equal to the invoice amount, then it is an open item and Number of Days There is a difference between the date of the penalty and the date of the start of the penalty, i.e. Maturity date or the date of the last penalty from the last Finance Charge Entries. Owed To is then the date of the penalty.

Contract Non-Penalty Period

There is an option to set a non-penalty period on the contract. The user enters the date of the non-penalty from the card of the contract / Navigation / No Fin. Charge Memo Period.

When calculating finance charge for a given customer item, the system checks whether there is a record(s) in the Contract Non-Penalty Period table. In the event that:

• There is no

  • When calculating finance charges, the system will proceed according to the standard functionality (it will calculate the finance charge for the entire period according to the settings of the Penalty Code)

• Exists

  • The finance charge system for a given item will not calculate for the period Don't Charge From Date – Don't Charge To Date

  • If there are multiple records for a contract, the system will take into account all records

  • Example 1

    • Customer item is due on 20.11.2022

    • The contract has a non-penalty period until 31.12.2022

    • We start the penalty on 15.2.2023, the customer's item was paid on 10.2.2023.

    • The system calculates finance charge for a given customer item for the period from 1.1.2023 to 10.2.2023

  • Example 2:

    • Customer item is due on 20.11.2022

    • The contract has a non-penalty period from 1.12.2022 to 31.12.2022

    • We start the penalty on 15.2.2023, the customer's item was paid on 10.2.2023

    • The system calculates finance charge charges for a given customer entry for the period:

      • from 20.11.2022 to 30.11.2022

      • from 1.1.2023 to 10.2.2023.

Note:

• If the Due Date of the item is within the non-penalty period of the contract, the system shifts the Due Date to the first day after the end of the non-penalty period.

• E.g.

  • The non-penalty period is from 1.9.2023 to 30.9.2023

  • The due date of the instalment is 15.9.2023

  • Invoice payment date is 19.10.2023

  • The system will shift the due date to 1.10.2023 and penalize the item until 19.10.2023.