If you've set up payment terms for your customers, QuickBooks can assess finance charges for any customers whose payments are late.
To set up for finance charges:
Choose QuickBooks > Preferences and then click Finance Charges.
Enter your finance charge information (annual interest rate, minimum finance charge, grace period).
Annual interest rate: This is the interest rate QuickBooks will use to calculate finance charges. QuickBooks assumes the rate is a percentage. For example, you would type
12.5 if your rate is 12.5%.
Minimum finance charge: To apply a minimum finance charge regardless of the amount overdue, enter it here.
Grace period (days): To allow a grace period before finance charges apply, enter the length of the grace period in days. This delays the application of finance charges. For example, if the starting date is June 1st and the grace period is 3 days, QuickBooks waits until June 4th to assess finance charges.
(Optional) Enter a finance charge title.
Indicate the date when you want to start assessing finance charges.
Due date: The day the invoice is due.
Transaction date: The day you wrote the invoice.
Choose the account to track income from finance charges. This is usually an income account.
(Optional) If you don't want to assess finance charges on overdue finance charges, clear the checkbox for it.
(Optional) To be able to print your finance charge invoices to send to customers, select the “Mark finance charge invoices as 'To be printed” checkbox. If you send statements, leave this checkbox cleared.