Creating payment agreements

One type of financial arrangement you can make with customers is a payment agreement. Payment agreements are set up by account and not by patient. You can create one payment agreement per account.

To create a payment agreement

1.   With a patient selected in the Ledger, click File, and then click Billing/Payment Agreement.

The Billing/Payment Agreement Information dialog box appears.

2.   The current date appears in the Agreement Date field by default.

Note: If necessary, you can click the Down arrow to change the date of the agreement.

3.   To set the terms of the payment agreement, do the following:

·        Interval – Select the payment interval from the list:

·        Monthly – Requires a payment once a month.

·        Semi-monthly – Requires a payment twice a month.

·        Bi-weekly – Requires a payment every two weeks.

·        Weekly – Requires a payment once a week.

·        Annual Finance Charge % – Type the amount of the finance charge.

·        Total Agreed Amount – To change the amount, type the total that you agreed to finance.

Note: By default, the total amount of the patient's account is entered.

·        First Payment Due – The default is the current date. To change the date, type a new date or click the Down arrow and click the appropriate date in the calendar.

4.   Do one of the following:

·        Payment Amount – Type the amount of each payment.

Note: The number of payments is calculated automatically.

·        # of Payments – Type the number of payments or set them using the spin box.

Note: The amount of each payment is calculated automatically.

5.   To apply late charges, select Late Charges.

6.   To set the terms for late charges, do the following:

·        Annual Late Charge % – Type an annual percentage rate. The percentage rate is used to calculate the monthly amount of the late charge. For example, if you use 18% as the annual rate, A monthly late charge of 1.5% is calculated.

·        Grace Period (Days) – Type the number of days or set them using the spin box.

·        Minimum Late Charge – Type the minimum amount to assess as a late charge.

·        Minimum Balance to Charge – Accounts with a balance greater than the minimum receive a finance or late charge. The default minimum is $0,01. You may increase this amount, but you cannot make it less than $0.01.

7.   To note the terms of the payment agreement or to create a guarantor note, click the following links:

·        Creating payment agreement notes

·        Adding guarantor notes

8.   To create the payment agreement for the selected patient, click OK.