Payment frequency

When creating a program line, Enable allows you to define the payment frequency. This determines the number of payment lines created. These are used to determine payment periods and allow for cash management in the Finance app.

The options for payment frequency are:

• Once: There is one payment period at the end of the agreement.
• Annual: The payment period occurs once a year, based on the start date.
• Monthly: There is a payment period every month, based on the start date.
• Quarterly: There is a payment period every quarter, based on the start date.
• Six monthly: There is a payment period every six months, based on the start date.
• Irregular: This is available, by request when the mechanism is 'Fixed Amount - Lump Sum' or ‘Fixed Amount – Apportioned'
• N/A: This is available, by request, when you would not like payment periods for your program lines.

When is the payment due?

A 'claim point' must be specified on each program line. This determines when the payments will be due. If a program line has a 'claim point' of 'in advance', the payment will be due at the beginning of the payment period. If a program line has a 'claim point' of 'in arrears', then the payment will be due at the end of a payment period.

For example, a program line with a payment frequency of 'Once' and a claim point of 'In advance', would result in the line being due for payment on the start date.

On the contrary, a program line with a payment frequency of 'Monthly' and a claim point of 'In arrears', would result in the line being due for payment on the final day of each month.

Lastly, you can also set a delay on when the payment becomes due in the Finance app by setting a terms item for this. For example, payment can become due 30 days after the payment line is generated. You can learn more about this in our article on terms items.

You can learn more about how payment frequency affects your program line here.