Late Fees on Renewals
Memberships that renew have a renewal date associated with them. If the member has not initiated the renewal after the date, automatic actions can take place, such as changing the membership status, etc. Actions can progress over days: for example at 7 days the membership might change status to Pending Renewal, and at 14 days be archived.
Along with these changes, a "overdue fee" could be added as an extra cost fee. Depending on how much time has passed since the registration date, the admin could choose to apply this charge as a flat amount. For example, if they renew within 7 days of the renewal date, there might not be a lapsed fee. But, if they renew 14 days or more after the renewal date, they may have to pay $20 late fee. This is to encourage members to renew early.
Dan Sanders commented
I agree this is needed.
Brian Roy commented
When accounts are overdue, it would be great to have the ability to charge interest monthly.
This is a critical collection and business process very common in association memberships. What is the status of this important feature?
Add $___ after __ days from renewal date membership type for unpaid balance. Allow __ days grace period for late fee.
Add %___ after __ days from renewal date membership type for unpaid balance. Allow __ days grace period for late fee.
I agree with the concept, but would much prefer to handle it as follows: If a membership lapses the next renewal date is set to one period from the date the membership lapsed. (not the date that the membership is reactivated)
In our case what happens at the moment is that some people wait until after their membership lapses and then renew. If this takes a while when they finally go and reactivate their membership, the new renewal date is one year from the date they reactivated not one year from the renewal date. This effectively gives them a holiday and there is an incentive to pay late and renew only when there is some exciting event coming up. We won't want to discourage them by asking for a late fee, after all, many of our members are freelancers and could be having a bad patch. But they they should pay their back dues, and this would be a way of doing that without making a big deal of it.
I vote for this too. Our membership chair just asked me if I could set this up and I'll have to tell her no, not at this time.
Susan Culligan commented
We need this badly! We extend a 30-day grace period for late renewals and this incurs a $25 charge, but on the first day of our grace period I have to go in and change the price of renewals for all our levels, then make sure the notice that goes out states that the late fee will be included in their renewal.
A simple option to click with a late renewal fee preset for the day after the renewal deadline would be super-fantastic and save this already overburdened Director of Technology from another manual job that seems like it would be so easy to automate.
Liz McDonald commented
being able to add a fee to when a membership renewal is late. now we have to actually create a new membership level with the fee added & then change the membership type manually after they pay. It adds a "false" level of membership to our records and there are likely many organization that have a late payment fee.
Michael Hall commented
Our organization also applies a late fee (of $50) to each membership that does not pay by a certain date. Outside of generating a new invoice with the add'l fee for all those memberships that have not paid on time, I do not know how I'll handle this our first year using W.A. I will probably have to manually delete the outstanding unpaid invoice and create a new one for each person awaiting paying with the late fee. I asked a W.A. tech support about setting an expiation time/date in an invoice so that at midnight of date, the invoice would expire and no longer be useable/accessible to member, but this feature is not available.
I kinda figured that, but wasn't sure if I'd just missed it in the long Roadmap list or something. Since your answer referred me to the list, I thought maybe there was some reference to it there.
No :) This was my answer on your question "Anything on this yet?". Our Product Roadmap page shows up to date state of where we are and what are our plans. So, this one is not in plans yet.
I don't see this listed there at all. Am I supposed to?
All our up to date plans are here: http://help.wildapricot.com/display/DOC/Product+roadmap
Anything on this yet? Been another year and we are entering our renewal period again and are faced with the same problem again. A checkbox with a space to enter the late fee amount on the admin's renewals panel would be terrific:
"If not renewed in ___ days, add $___ late fee."
I think this is a very useful feature to have. Whether it is considered punitive or not is a subjective matter and not really relevant to whether or not the feature should be available. Some organizations definitely have a legitimate use for it.
Having said that, using different membership levels really doesn't work well because there is not way to automatically switch them back to a member in good standing once they've paid their late member dues. The admins would need to remember to do this (which they don't) otherwise the next renewal they will be prompted to renew at the late member level, even if they are not late.
Manually turning on an extra fee field is too labor intensive and error prone. Plus it carries the same problem with remembering to turn it off once the member has renewed so that they don't automatically get charged again next year.
From an implementation point of view, I think having one more option on the admin's renewals panel where you check a box if you want to add a late fee once you enter the grace period and another option for a late fee (possibly a different amount than the grace period fee) for when they enter the Lapsed status.
I think this is very common and useful to encourage timely renewals.
Dmitry Buterin commented
Some insightful details from one of our clients:
Right now, we have a 60 day grace-period for our members, during which they can maintain their membership if they pay their dues along with the added $25 late fee. Currently, the day after they are due, I go in to the accounts of each member who hasn’t paid and click the “Extra Charges Multiple Choice” field that adds the late fee to their renewal invoice once they begin the renewal wizard (big pain, but I suppose I could do an export/change/import if there were too many). After that grace-period, I have to manually “Suspend” the memberships of everyone who hasn’t paid (also a big pain). Ideally, I could tell WA to add the late fee on December 2nd of each year and also tell it to suspend their memberships if they haven’t paid with 60 days of that date. We have found that we don’t really like the auto-creation of renewal invoices to everyone (we tried it this year) because their invoices might change depending on what optional features they choose to add during the renewal wizard. So, it might not be as easy as adding an additional invoice to their records. But if that’s the way you choose to go, we would be OK with that. It would still be an improvement over the way we currently have to do it.
No update so far
Any update on this? Kind of a critical piece of collections.
Either option would be equal in terms of development and design time to spend, so I would stick to original idea.
Rick Rogers commented
Nevermind, I see the other thread on changing levels upon renewal. :)
We also use this kind of business process. We've implemented a change of level from "Member" to "Late Paying Member" and we have to manually move members back after they renew. Luckily we are a small organization.
Implementing a late fee structure would be the most elegant solution, but a simpler solution comes to mind: how about just having actions that can be triggered upon renewal. In this case, upon renewal of a "Late Paying Member" we would change their level to "Member" again.
This feature would be perfect for us we have a yearly membership fee that if not recieved in 15 days results in a $25 late fee. We have 2 membership levels and would like it set up so that after the time frame passes it automatically adds $25 to each membership level to renew.