Payment Reminders

Payment Reminders

Payment reminders help you follow up with customers who have overdue or pending payments. EquiBillBook provides features to track payment due dates, send reminders, and manage collections effectively. This guide explains how to use payment reminders to improve your cash flow.

What are Payment Reminders?

Payment reminders are notifications sent to customers to remind them about:

• Upcoming payment due dates
• Overdue invoices
• Outstanding balances
• Partial payments that need to be completed

Why Use Payment Reminders?

Payment reminders help you:

• Improve cash flow by encouraging timely payments
• Reduce outstanding receivables
• Maintain professional customer communication
• Automate follow-up processes
• Track payment collection efforts
• Identify problematic payment patterns early

Viewing Payments Due and Overdue

Accessing Payment Status Reports

To see which payments are due or overdue:

1. Go to Reports → Receivables Reports
2. Select "Customer Outstanding" or "Aging Report"
3. View invoices by payment status (Due, Overdue, Partially Paid)
4. Filter by date range, customer, or branch

Payment Status Indicators

Invoices are categorized by payment status:

• Due: Payment is pending but not yet overdue
• Overdue: Payment is past the due date
• Partially Paid: Some payment received but balance remains
• Paid: Fully paid (no reminder needed)

Manual Payment Reminders

Step 1: Identify Customers Needing Reminders

Review your receivables reports to identify:

• Invoices approaching due dates
• Overdue invoices
• Customers with outstanding balances
• Partial payments needing completion

Step 2: Send Reminder via Email

Send reminder emails directly from invoices:

1. Go to Sales → Sales Invoice
2. Open the invoice that needs a reminder
3. Click "Send Reminder" or "Email Reminder"
4. Review the email template
5. Customize the message if needed
6. Send the reminder email

Step 3: Track Reminders Sent

Keep track of reminders:

• Note the date reminders were sent
• Document customer responses
• Track follow-up actions needed
• Update payment status when payments are received

Automated Payment Reminders

If automated reminders are available in your system:

Setting Up Automated Reminders

1. Go to Settings → Notification Settings
2. Navigate to Payment Reminder settings
3. Enable automated payment reminders
4. Configure reminder schedule (e.g., 7 days before due, on due date, 7 days overdue)
5. Customize reminder email templates
6. Set up reminder frequency (daily, weekly)
7. Save the settings

Reminder Schedule Options

Configure when reminders are sent:

• Before Due Date: Send X days before payment is due
• On Due Date: Send reminder on the due date
• After Due Date: Send X days after payment becomes overdue
• Escalating Reminders: Multiple reminders at increasing intervals

Payment Reminder Email Templates

Template Components

Reminder emails typically include:

• Professional greeting
• Invoice number and date
• Due date and amount due
• Payment instructions
• Payment link (if enabled)
• Contact information for questions
• Professional closing

Customizing Templates

To customize reminder templates:

1. Go to Settings → Notification Settings → Email Templates
2. Select Payment Reminder template
3. Edit the template content
4. Add your branding and business details
5. Include payment terms and instructions
6. Save the customized template

Payment Reminder Best Practices

• Be Professional: Use polite, professional language in reminders
• Be Clear: Clearly state the amount due and due date
• Be Timely: Send reminders before payments become overdue when possible
• Be Consistent: Follow a regular reminder schedule
• Be Helpful: Provide payment instructions and contact information
• Track Responses: Note customer responses and payment promises
• Escalate When Needed: Follow up with more urgent reminders for long overdue payments
• Document Everything: Keep records of all reminder communications

Payment Reminder Workflow

For Invoices Approaching Due Date

1. Identify invoices due in the next 7-14 days
2. Send friendly reminder about upcoming due date
3. Include invoice details and payment instructions
4. Thank customer for their business

For Overdue Invoices

1. Identify overdue invoices
2. Send reminder stating payment is overdue
3. Include number of days overdue
4. Request immediate payment
5. Offer to discuss payment arrangements if needed
6. Follow up if no response after 7 days

For Long Overdue Invoices

1. Send more urgent reminder
2. Consider phone call in addition to email
3. Discuss payment plan options
4. Document all communication attempts
5. Consider escalation procedures if payment not received

Payment Reminder Reports

Use reports to manage reminders:

• Overdue Invoices Report: List of all overdue invoices
• Aging Analysis: Invoices grouped by age of overdue
• Payment Due Report: Invoices due in the near future
• Customer Outstanding Report: Outstanding balances by customer

Payment Links in Reminders

You can include payment links in reminders:

• Generate payment links for invoices
• Include payment link in reminder emails
• Customers can pay directly through the link
• Payment is automatically recorded when customer pays
• Improves payment collection efficiency

Follow-up Actions

After sending reminders:

• Monitor payment receipts
• Update invoice status when payments are received
• Follow up if no response after reasonable time
• Document customer communication
• Adjust reminder schedule based on customer payment patterns

Managing Difficult Collections

For customers with persistent payment issues:

• Review payment history and patterns
• Consider payment plan options
• Set clear payment expectations
• Document all communication
• Consider credit limit adjustments
• Evaluate continuing the business relationship

Payment Reminder Checklist

Use this checklist for payment reminder management:

• □ Review receivables reports regularly (weekly recommended)
• □ Identify invoices approaching due dates
• □ Send reminders before payments become overdue
• □ Send reminders for overdue invoices promptly
• □ Customize reminder messages appropriately
• □ Include clear payment instructions
• □ Track all reminders sent
• □ Follow up on reminders with no response
• □ Update payment status when payments received
• □ Document customer communication
• □ Review and adjust reminder process regularly

Common Scenarios

Scenario 1: Regular Payment Reminder

For invoices approaching due date:

• Send friendly reminder 7 days before due date
• Include invoice details and payment instructions
• Use professional, courteous tone

Scenario 2: Overdue Payment Reminder

For payments that are overdue:

• Send reminder immediately when payment becomes overdue
• Clearly state the overdue amount and days overdue
• Request immediate payment
• Offer assistance if customer is facing difficulties

Scenario 3: Partial Payment Reminder

For invoices with partial payments:

• Remind customer of remaining balance
• Include details of payment already received
• Request payment for outstanding amount

Related Articles

Learn more about:

• Recording Customer Payments
• Partial Payments
• Payment Reconciliation

Payment reminders are an important tool for managing accounts receivable and improving cash flow. Regular, professional reminders help ensure timely payments while maintaining positive customer relationships. EquiBillBook provides the tools you need to track, send, and manage payment reminders effectively.