Setting Up Policies & Escalation Levels

Designing Your Collections Escalation

Go to Accounting > Configuration > Credit Control Policies → Create.

Adding Levels

Each level defines:

• Compute Mode – how the delay is measured: from the invoice's Due Date, Due Date, End of Month (rounds to month-end, common for consolidated monthly statements), or from the Previous Reminder (each level counts from when the last one went out, not the original due date).
• Delay (Days) – how many days after that reference point this level triggers.
• Channel – how the reminder goes out (email, physical letter — see the SMS & Snail Mail course for the postal option).
• Email Template – the message used at this level.
• Custom Message – text specific to this escalation stage (friendly at Level 1, firm at Level 3).
• Show Invoice Details – whether to list every overdue invoice's specifics in the reminder, or keep it a simple notice.

A Typical 3-Level Policy

1. Level 1 (7 days overdue) – friendly email reminder, invoice details included.
2. Level 2 (30 days overdue) – firmer email, cc'd to a manager.
3. Level 3 (60 days overdue) – final notice, potentially by post as well as email.

Assigning a Policy

Set a default company-wide policy, or override it per customer (e.g. a strategic account gets a gentler policy, a chronically late payer gets a stricter one) on the partner's own record.