I'm trying to make sense of how Adagio calculates the interest charge depending on whether the system is set to charge on overdue invoices or overdue balances. They seem to produce different results even for a customer with exactly one outstanding invoice.

The Overdue Invoice setting seems to be date sensitive, because changing the Run Date produces different charges. The Overdue Balance results in the same interest charge, no matter what the Run Date, but not the same as the Overdue Invoice setting produces.

My client and I are completely baffled.

As an aside, my client would like to specify at the invoice level, not the customer level, whether to charge interest. Is this a request you have received before?

Thanks

Steve

Hi Steve,

The 'Overdue Balance' method charges 30 days worth of interest, based on the annual rate. A balance typically would be made up of multiple invoices with different due dates, so the process does not look at the transaction information with this method.

'Overdue Invoices' are look at individually, which is why you found interest amounts change based on the run date. The amount is also based on the annual rate and the different between the due date and run date as a portion of a year.

I don't recall ever getting a suggestion to change interest by invoice - currently it can be charged selectively by customer. But I can write it up.