Understanding Delinquency Fees

In the Czech Republic and Poland, the interest rate that is charged as a delinquency fee on past-due invoices can change over the life of the invoice. For example, the interest rate that is charged on an invoice that is 90 days past due might be different for the first 30 days than for the last 60 days.

JD Edwards EnterpriseOne software enables you to set up delinquency interest rates with effective dates. The added programs for the Czech Republic and Poland enable you to apply multiple interest rates to a specific invoice from the due date to the actual payment date or as of date, even when the payment date or as of date is more than 30 days from the invoice date.

Note: The effective due date is always a business day. If the due date occurs on a nonworking day such as a Sunday, the effective due date is the immediately previous workday.

The application of delinquency fees to customers or invoices is optional. A company can apply them or not apply them.