An unpaid late fee is causing unwanted late fees for subsequent due dates...

Handling payments and adjustments, running reports, doing your accounting with Moneylender.
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wtech_josh
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Joined: Tue Jul 30, 2019 7:17 pm

An unpaid late fee is causing unwanted late fees for subsequent due dates...

Post by wtech_josh » Fri Feb 28, 2020 4:22 pm

You have a few ways to handle this.

Make sure "lenient late fees" is turned on.
There’s a setting in Portfolio > Portfolio Settings > General tab > “Small outstanding amounts don’t trigger late fees.”. When this is checked, if the amount due at the end of the grace period is ¼ of the regular payment or less, Moneylender won’t charge a late fee. This is meant to address situations like this and also if the borrower pays, for example, $1800 when the scheduled amount was $1803.45. Make sure that box is checked. This affects all loans in the portfolio for all time. Once you change this setting, select all your loans and click Recalculate on the toolbar to have the rule take effect on the actual calculations.

Set a specific trigger threshold for this late fee setting.
Alternatively, if you want strict fee charges on most loans, but want to be lenient for this one loan, select the loan > Settings tab > Late Fee > select the setting > click the Edit (pencil) button > set the Trigger Threshold to something greater than the amount of the late fee. This means that a late fee won’t be triggered if the amount still due at the end of the grace period is below the number you enter.

Tell Moneylender not to try to collect the fee, but still to charge it.
And lastly, if you want to just forget about having the borrower send some extra money to cover the late fee, but don’t want to actually waive the late fee, you can tell Moneylender to stop trying to collect some extra money to cover the fee from Settings tab > Adjustments > New (plus) button > Adjust the AmountDue account for -fee amount (negative adjustment to decrease the amount due) on the date the fee was charged. The fee is still assessed, and the payments received are applied to the fee before paying principal, but no additional payment above the normal amount is required from the borrower. The payoff at the end of the loan will be somewhat higher as a result.

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