Unpaid invoice: follow up, record part payments, send a statement

What a customer still owes after part payments and credit notes, how to follow up before and after the due date, and when to send a statement of account.

What the customer still owes

An invoice records what you billed and stays unchanged when money comes in. What the customer still owes is the invoice total less every payment and every credit note against it. Give each payment its own receipt, dated the day the money arrived, and the documents explain the balance.

Example: invoice INV-2026-0042 bills 40 display stands at USD 25 plus USD 80 packing, (40 x 25) + 80 = USD 1,080. Receipt RC-2026-0015 records a 50% deposit, leaving 1,080 - 540 = USD 540. Five stands arrive damaged; credit note CN-2026-0007 credits 5 x 25 = USD 125, and 540 - 125 = USD 415 is still owed.

Before and after the due date

A short note a few days before the due date prevents many late payments. Once it has passed, check your bank first: the money may have arrived under another name. Then send a polite reminder with the invoice number, amount still owed and original due date, and attach the unchanged invoice.

In the UK, if you agreed no payment date with a business customer, payment is late 30 days after they receive the invoice or the goods or service, whichever is later. You can then claim statutory interest of 8% plus the Bank of England base rate, unless your contract sets another rate, and a fixed sum of GBP 40, 70 or 100 depending on the debt. If reminders fail, a county court claim is the next step in England and Wales. Elsewhere, agree late charges in your terms before the work begins.

Part payments and deposits

Record each payment on its own receipt that names the invoice and says what is left, such as "Deposit, 50% of INV-2026-0042; USD 540 remaining". The last receipt then says the invoice is paid in full.

Percentages rarely divide exactly. 30% of USD 1,234.55 is USD 370.365, rounded to USD 370.37; the final payment takes what is left, USD 864.18, so the two add up to the cent. When each receipt also works out its own tax, a cent of rounding difference can remain.

When the amount itself changes

If goods come back or you agree a lower price, do not edit or resend the invoice. Issue a credit note that names it, as in the example, and the amount owed falls by the credit. If the customer had already paid in full, refund the credit or agree in writing to set it against the next invoice.

Several open invoices: send a statement

When one customer has several invoices open, a statement of account lists the invoices, payments and credits of a period with the balance. It asks for no new payment; it helps both sides match their records. If a payment does not say which invoice it settles, ask before you record it.

Following it up in QuoteBill

Open the invoice. "Related documents", at the top of the form, shows the quotation or proforma it came from, the receipts and credit notes made for it, and what is "Still owed". A prepayment received on a proforma counts on the invoice made from it.

"Record a payment" writes the receipt for you: choose "Everything still owed", or "Part of it" and a percentage. The receipt is created as sent, so it counts at once; check the payment date and method, then save it.

QuoteBill follows up only invoices that are no longer drafts, so set an invoice to "Sent" when it goes out. The panel offers "Mark as sent" for a draft that looks sent, and "Mark as paid" once receipts and credit notes cover it. QuoteBill never changes a status by itself and sends nothing for you.

In the workspace, "What needs your attention" counts "Overdue invoices", "Waiting for payment", "Ready to bill" and "Quotes ending soon"; press one to list them. On an invoice row, the customer menu offers "Statement for this customer": that customer's issued invoices, receipts and credit notes in one currency.

Before you chase a payment

Four checks keep a reminder accurate and polite:

  • The money has not already arrived under another name or reference.
  • The invoice was sent to the right billing contact and is marked as sent.
  • The reminder gives the invoice number, the amount still owed and the due date.
  • Each payment has its own receipt, and each change of amount a credit note.

Sources

225 Free Invoice, Quote & Receipt Templates

  • Free invoice generator

    Download the invoice as Excel or Word with the formulas working, or edit it online with your logo and tax settings and save a PDF. Free with a QuoteBill account.

  • Receipt template

    Free receipt template for a payment you received: date, payment method, the invoice it settles and the amount. Download Excel or Word, or make a PDF online.

  • Statement of account template

    Customer statement template: invoices, payments and credits by date with a running balance and the balance due; add lines from saved invoices.

  • Credit note template

    Free credit note (credit memo) template: reduce or cancel an invoice you already sent, quoting its number and the reason. Download Excel or Word, or save a PDF.