How can a Society change the Late Payment Interest Rate in ADDA?

How can a Society change the Late Payment Interest Rate in ADDA?

If a Society wants to update the Late Payment Interest Rate in ADDA, it can follow the steps below. The applicable rate should be based on the rate approved by the Society/MC.

Note: The change is optional. The Society should confirm the applicable interest rate with its consultant and/or authorized committee before making any changes in ADDA.

Navigation Path:  Income Tracker → Setup → Late Payment Interest

Steps to Change the Interest Rate:
Step 1:  Log in to the ADDA Admin Dashboard.
Step 2: Go to Income Tracker → Setup
Step 3: Scroll down to Late Payment Interest.
Step 4: Click Edit.
Step 5:  Update the interest rate as approved by the Society.
  • Previous maximum rate: 21% per annum
  • Revised maximum rate: 12% per annum
    Step 6:     Click Save.

    Example: If the Society has approved an interest rate of 12% per annum, update the Late Payment Interest setting to 12%.

    How can I verify the interest calculation after updating the rate?
    After updating the interest rate, it is recommended to use the Preview and Post option to verify that the interest is being calculated correctly before posting the invoices.

    Navigation Path: Income Tracker → Members Income → Bulk Posting → Post Invoices in Bulk → Preview and Post Invoices

    • Use the Preview option to verify the interest amount calculated as per the revised rate. Once the calculation is verified and found correct, the invoices can be posted.

    Important Notes
    1. The applicable interest rate should be updated only after obtaining the required approval from the Society/MC members.
    2. It is recommended to confirm the applicable rate with the society's financial/accounting consultant, wherever required.

    Author: Tarun