Dunning Schedules: manage overdue payment reminders

Dunning Schedules send planned reminders for overdue invoices. A schedule defines when each reminder is sent and which notification template it uses, so accounts-receivable teams can follow a consistent customer-communication process.

The schedule handles routine messages. Your collections team still decides how to handle a disputed balance, a payment that has not yet been recorded, or a customer who has agreed to a different payment date.

Who can configure a schedule?

Users need access to firm settings and receivables notification templates. Configure reminder timing and wording with the team responsible for customer collections.

Agree on the reminder policy

Before turning on automatic reminders, accounts receivable should decide when to contact a customer, who should receive each message, what the message should say, and who owns replies. Check that invoice due dates, customer contacts, and payment application are current. A reminder based on an old balance can confuse a customer who has already paid.

Have the people who manage customer relationships and collections review the sequence before activation. Decide how they will identify invoices that need individual attention and who will pause or change the schedule when the policy changes.

Configure a dunning schedule

1. Open Settings and select Dunning Schedule.
2. Turn on Activate Dunning Schedule for Overdue Invoices.
3. Add each reminder stage. Choose the number of days overdue and the notification template to send.
4. Review the template wording, recipients, and timing before activating the schedule.
5. Save the schedule.

Monitor and pause reminders

The schedule checks overdue invoices each day and sends the applicable reminder. Keep invoice due dates, balances, and customer contacts accurate. Pause the schedule while revising it when your team needs to prevent additional reminders.

Review customer replies and overdue balances as part of your regular collections work. When a customer reports payment, verify and record the receipt before assuming the invoice is settled. When a balance is disputed or the customer promises a payment date, assign an owner to follow up and use your normal receivables process to document and resolve it. A reminder does not settle a dispute or confirm collection.

Check the result

After activation, confirm that the intended reminder stages and templates are saved. In the next collections review, compare overdue invoices with customer responses and payment records. Investigate a message that does not match the invoice balance or your agreed contact policy before leaving the schedule running unchanged.

If reminders do not look right

• A reminder was not sent: Check whether the invoice is overdue, the schedule is active, and the applicable reminder stage has a notification template.
• A customer received the wrong message: Pause the schedule, review the template and customer contact details, then resume it after correction.
• An invoice should not receive reminders: Use your approved receivables process to resolve the payment, dispute, or other exception before the next reminder stage.

Related topics

Use Dunning Schedules with your invoice, payment, and cash-collection process. For recurring invoices, see Subscriptions and Recurring Billing. Keep approval and communication policies defined by your organization.