Rental Payoff Formulas
From the menu bar, click Maintenance, click Rental Maintenance and click Add/Change Payoff Formulas or press Alt N R F on the keyboard.
Payoff Formulas apply to rent month to month contracts only. The formula determines what percentage (if any) of each payment applies towards the purchase of the contracted item.
Note: The Maintenance portion of payments will not be used when calculating rent credit.
The payoff formula highlighted in the screen shot above states the following:
- 100% of payments made in the first six months applies towards the purchase,
- 80% of subsequent payments applies towards the purchase,
- if a payment is late, you will still give the customer credit for the payment,
- once the accumulated rent credit reaches the purchase price of the item being rented, the contract will payoff.
Note: When posting the final payment, you will see a note on the screen stating the contract is paying off.
PDF Downloads