If a customer account is overdue, how do I charge them interest?

Hello there, okkie.

I'm here to help you record the charges in QuickBooks Online (QBO).

We have a couple of options to charge interest to your customer's accounts or transactions. Here are the following:

• Create a separate invoice for the charge
• Add another line item on the past-due invoice

To get started, set up an item with interest through the Products and Services window. Here's how:

1. Go to the Gear icon, then click on Products and services.
2. Click New.
3. Choose either Non-inventory or Service.
4. Enter the desired name of the interest.
5. Choose an Income account to track the charge.
6. Tap Save and close.

Now, here's how you can add the item on the new invoice:

1. Go to the +New icon.
2. Click Invoice under Customers. 
3. Under the Product/Service column, add the interest item.
4. Enter the amount manually in the Amount tab.
5. Hit Save and close.

On the other hand, you can follow these steps if you want to add interest to the existing invoice.

1. Go to the Sales menu, then select Customers.
2. Choose the customer, then look for the past-due invoice.
3. Add the interest item in the unused line, then enter the amount.
4. Click Save and Close.

Aside from the interest charge, you can also track bank charges when receiving customer payments in the future.

Additionally, you can check this article about handling customer entries in the future: Topics about your company's income and customers.

Let me know if you have other follow-up questions about interest charges. I'm always here to help. Take care!