How does the grace period work?

The grace period is a configurable number of days after an invoice due date before any enforcement action fires. During this window, no reminders or fees are applied — giving your client a buffer before escalation begins.

How is late-payment interest calculated?

Interest is calculated based on the rate and method you configure in your enforcement settings. Kwill applies the interest automatically at each escalation rung according to your rules, and the amount is itemized clearly on the client-facing invoice.

Does enforcement pause automatically during a dispute?

Yes. When the auto-pause on dispute setting is enabled, Kwill detects dispute language in client messages and automatically pauses enforcement on that invoice until you review and resolve the dispute manually.

Which Kwill plans include enforcement?

Late payment enforcement is available on all paid Kwill plans. Free-tier users can upgrade to access enforcement settings and automated escalation.

Late payment enforcement

Automated late payment escalation that collects without confrontation.

Set escalation rules once. Kwill sends reminders, applies grace periods, adds interest, and advances rungs automatically — so you stay professional while overdue invoices get resolved.

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Enforcement

Late Payment Enforcement

Configure automated late-payment escalation rungs, threshold caps, and dispute auto-pausing. Off by default for all signups until enabled.

Enable Late Payment Enforcement

When enabled, Kwill automatically tracks overdue invoices, applies grace periods, and advances escalation rungs. Off by default.

Auto-Advance Threshold (Max Rung)

Rung 2 — Formal notice & late fee where allowed (Default)

Maximum rung the escalation ladder will auto-advance to (1–3). Escalation stops at this threshold — invoices past the cap will not accrue further fees or emails until you increase the limit. Rungs 4–5 (pre-legal notice and legal escalation) always require your explicit review and approval — they never fire automatically.

Grace Period (Days)

Number of days after the due date before Rung 1 fires. During the grace period no escalation occurs. Default is 3 days.

Auto-pause on dispute

When a client sends a message containing dispute language (e.g. "dispute", "fraud", "not authorized"), automatically freeze escalation on their unpaid invoices. Accrued rungs and interest are preserved — the pause only stops further advancement.

Clients without late-fee terms in their contract

When a client's signed contract sets a late-interest rate, Kwill charges exactly what the contract allows and this setting is ignored. For every other client, a late fee is only added at Rung 2 if you accept responsibility for it below.

Late fee (% of invoice total, charged once at Rung 2)

Between 0% and 10%. 0% means clients without late-fee terms get the notices only; clients with contract terms are still charged what their contract allows. Changing it only affects invoices that haven't reached Rung 2 yet.

Charge a 2% late fee to clients whose contract doesn't include late-fee terms. I understand this fee was not agreed in a contract and I am responsible for any legal liability or dispute that results.

Not accepted: clients without late-fee terms in their contract get the notices, but no fee is added.

Save enforcement settings

How enforcement works

Five escalation rungs. One toggle to turn them on.

Pre-rung

Grace Period

Wait before escalating. A configurable buffer after the due date before any action fires.

Grace period5 days

No reminders or fees applied during this window

Rung 1

Gentle Reminder & Grace Notice

Automated nudge sent to the client after the grace period ends. Polite, professional, and fully customizable.

Rung 2

Formal Notice & Initial Fee

Adds a late fee and sends a formal overdue notice. The fee amount is configurable per invoice or globally.

Rung 3

Work-Pause Notice

Sends a work-pause notice to the client until the overdue invoice is settled. The highest auto-advance rung.

Rungs 4 – 5

Manual Escalation

Pre-legal notice and legal escalation require your explicit approval — they never fire automatically. You stay in control of every high-stakes decision.

4Pre-legal noticeFormal warning before legal action

5Legal escalationReferred for legal follow-up

Your approvalNothing fires without your say-so

Full audit trailEvery step is logged and timestamped

Three steps

Enable. Set rules. Let it run.

Late payment enforcement

Toggle enforcement on

Flip a single switch in your account settings. Enforcement is off by default and never activates without your consent.

Grace period

3 days

Late fee rate

1.5%

Dispute auto-pause

Configure thresholds

Set your grace period, maximum auto-advance rung, late fee rates, and dispute auto-pause preferences.

Kwill handles the rest

Overdue invoices are tracked automatically. Reminders, notices, and fees fire on schedule while you focus on your work.

FAQ

Enforcement questions

Everything you need to know about automated late payment escalation.

Instant FAQ Assistant

Answers from our help docs

What is late payment enforcement?

Late payment enforcement is an automated escalation system that tracks overdue invoices and advances through configurable rungs — from friendly reminders to formal notices and fees — so you collect what you are owed without awkward conversations.

What are escalation rungs?

Escalation rungs are sequential stages that an overdue invoice moves through. Rung 1 sends a gentle reminder, Rung 2 adds a late fee and formal notice, Rung 3 sends a work-pause notice, and Rungs 4–5 (pre-legal notice and legal escalation) require your manual approval. You control the maximum auto-advance rung (1–3).

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Automated late payment escalation that collects without confrontation.

Enforcement

Late Payment Enforcement

Five escalation rungs. One toggle to turn them on.

Grace Period

Gentle Reminder & Grace Notice

Formal Notice & Initial Fee

Work-Pause Notice

Manual Escalation

Enable. Set rules. Let it run.

Toggle enforcement on

Configure thresholds

Kwill handles the rest

Enforcement questions

Look like an agency of ten, even if you're a team of one.

Automated late payment escalation that collects without confrontation.

Five escalation rungs. One toggle to turn them on.Five escalation rungs. One toggle to turn them on.

Grace Period

Gentle Reminder & Grace Notice

Formal Notice & Initial Fee

Work-Pause Notice

Manual Escalation

Enable. Set rules. Let it run.Enable. Set rules. Let it run.

Toggle enforcement on

Configure thresholds

Kwill handles the rest

Enforcement questions

Look like an agency of ten, even if you're a team of one.

Five escalation rungs. One toggle to turn them on.

Enable. Set rules. Let it run.