NOTICE: The Finance Policies and Procedures Manual, along with the previous manual, is undergoing changes. These sites are continually updated to reflect changes in business processes. If you cannot find the information you are seeking in these policies, email financecomm@unc.edu for more information.
Policies and Procedures

Procedure 501.3 – Late Payment Fee and Interest

Effective
February 10, 2015
Last Updated
February 16, 2015
Responsible University Officer
University Cashier
Responsible Unit
Office of University Cashier

Procedure Statement

This procedure outlines how late payment penalty fees and interest charges are assessed on student accounts, as required by the State of North Carolina.

Forms and Instructions

  • Computation of Late Payment Penalty: About 30 days after the first late payment letter is sent, the account is subject to the one-time late payment penalty fee, 10% of the balance due (rounded down to the nearest whole dollar). The amount is computed and applied to the student account via batch upload.
  • After the final letter is sent, reflecting the balance due with the late payment penalty fee, and for each additional month thereafter, interest is assessed on the remaining debt, excluding the late payment fee and interest penalty, rounded down to the nearest whole dollar. The interest rate is based on the North Carolina Department of Revenue (NCDOR) rate. The website detailing this rate is referenced under Related Rata.

Related Data

The interest rate is based on the NCDOR rate.

Procedure 501.2 - Collecting Past Due Student Accounts

Procedure 503.1 – Collecting Past Due Accounts Receivable

History

Revised:
Jan. 13, 2017:
Updated nomenclature to "University Cashier" and "Office of the University Cashier" from Office of Student Accounts and University Receivables.