Past due adjustments allow you to manually modify the amount past due (APD) and days past due (DPD) on an account. The adjustments are used for record-keeping purposes and as a way to ensure other parts of your settings—such as the automation engine and interest—are working as you'd like. These adjustments do not affect a borrower’s balance or forgive any portion of the amount owed. 

Past due adjustments are broken up into two different categories: days past due adjustments and amount past due adjustments. These two categories work together in tandem as they are used to calculate delinquency. 

Days past due adjustments

Days past due adjustments are used to adjust the amount of days a payment is late or ‘past due’. To log an adjustment, navigate to a loan and select Account Setup > Setup Tools > Past Due Adjustments. Here, you can create, edit, and delete days past due adjustments. 

To create a new adjustment, click 'Add'. Clicking 'Add' will display a window where you can select a date for the adjustment. The day you choose will be treated by the system as  the last payment date. For example, if a loan's last payment was due 10 days ago, and you set the date 5 days in the past, the loan will now be 5 days past due. Once you’ve selected a date, hit ‘Save’ to complete the adjustment. 

Amount past due adjustments

Amount past due adjustments allow you to change the amount and days past due. To add an adjustment, navigate to a loan and select Account Setup > Setup Tools > Past Due Adjustments. Now, click 'Amount Past Due' on the left. Finally, click 'Add' in the top right corner. This will display a new window.

Here you will determine the amount past due, days past due, and type of adjustment. 

• Date: The day you select will be the day that the system thinks the last payment was made. For example, if a loan's last payment was due 10 days ago and you set the date 5 days in the past, the loan will now be 5 days past due.
• Amount: The value you put in this field deducts from the current amount past due. For example, if the loan is $250 past due and you enter $50 here, the loan’s amount past due will now be $200. The past due balance cannot be reduced below zero. If your loan is $250 past due and you enter $300 into the ‘Amount’ field, the loan’s past due amount will be capped at 0. 
• Type of adjustment: There are two types of adjustments: Fixed Dollar Amount and Zero Balance. 
  • Fixed dollar amount: Deduct a specific dollar amount from the loan past due balance.
  • Zero balance: Completely remove the past due amount. 

Once you've selected a date and an amount, hit 'Save' to complete the adjustment.