How-ToFinance & Operations

How to Set Up and Configure Reminders in Business Central

Automate overdue invoice follow-ups using reminder terms, levels, and the built-in reminders automation feature in Business Central.

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Reminders help finance teams follow up on overdue invoices. Instead of manually tracking late payments, you define reminder rules and let the system generate reminder documents automatically.

Recent versions of Business Central introduced a redesigned Reminder Terms Setup page and automation features for issuing reminders.

What reminders are used for

Reminders notify customers about overdue invoices and can optionally add fees or interest.

A reminder structure normally contains several levels. Each level defines:

  • How long an invoice must be overdue
  • Whether interest should be calculated
  • Whether additional fees should be added
  • The message shown to the customer

Each time a reminder is issued, the level number is stored on the related customer ledger entries. If another reminder is generated later, the next level is used.

Step 1: Create Reminder Terms

  1. Use Search (Alt + Q) and open Reminder Terms Setup.
  2. Select New.
  3. Fill in the basic fields:
    • Code
    • Description
    • Post Interest
    • Max. No. of Reminders

You can create multiple reminder terms if different customers require different reminder processes.

Step 2: Configure Reminder Levels

Each reminder term contains one or more levels.

  1. Open the reminder term.
  2. Add lines under Reminder Levels.
  3. Configure fields such as:
    • Grace Period
    • Additional Fee
    • Calculate Interest

Example structure:

LevelGrace PeriodFee
17 days0
214 days10
330 days25

If more reminders are created than levels defined, the highest level settings continue to apply.

Step 3: Configure Reminder Communication

Reminder messages can be configured for each level.

From the reminder term:

  1. Select a level.
  2. Open Customer Communication.
  3. Configure:
    • Email text
    • Attachment text
    • Language-specific versions if needed

The reminder report used for emails is defined in Report Selection – Reminder/Finance Charge.

Step 4: Assign Reminder Terms to Customers

  1. Open the Customer Card.
  2. Navigate to the Invoicing section.
  3. Set the Reminder Terms Code.

The customer will now follow that reminder structure.

Step 5: Create Reminders

To generate reminders manually:

  1. Search for Create Reminders.
  2. Select the reminder terms code.
  3. Apply filters such as customer or posting date.
  4. Run the process.

Business Central will collect overdue ledger entries and create reminder documents.

Step 6: Automate Reminder Processing

Recent versions include reminder automation.

  1. Search for Reminders Automation.
  2. Select New.
  3. Define:
    • Reminder terms filter
    • Frequency (cadence)
  4. Add actions such as:
    • Create reminders
    • Issue reminders
    • Send reminders by email

This allows reminders to run automatically on a schedule.

To control which users can create or issue reminders, see How to Configure Security Groups in Business Central.