# What happens when an invoice is overdue

- **URL:** https://trymorgan.ai/help/overdue-invoice
- **Category:** Invoices

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## What happens when an invoice is overdue

An invoice becomes overdue when the due date passes and the customer hasn't paid. Morgan AI handles this clearly so you always know what's outstanding.

## How Morgan AI marks invoices overdue

When an invoice's due date passes without payment, it automatically moves from **Unpaid** to **Overdue** in your Invoices tab. You'll see it highlighted in red so it's easy to spot.

## Automatic reminders

Morgan AI can automatically send payment reminders to customers with overdue invoices. To set this up:

1. Go to **Settings > Invoices > Reminders**
2. Enable **Automatic reminders**
3. Choose when to send them:
   - On the due date
   - 3 days after due date
   - 7 days after due date

You can customize the reminder message or use our default professionally-worded template.

## Sending a manual reminder

At any time, you can send a one-off reminder:
1. Open the overdue invoice
2. Tap **Send reminder**
3. Preview the message and tap **Send**

The reminder includes the invoice details, amount owing, and a payment link.

## Adding late fees

If your business charges late fees, you can add them to an invoice:
1. Open the overdue invoice
2. Tap **Add late fee**
3. Enter the amount or percentage
4. The invoice total updates and a new copy is sent to the customer

## Writing off an invoice

If you've decided a customer isn't going to pay and you want to write off the invoice:
1. Open the invoice
2. Tap **Mark as written off**

This removes it from your outstanding balance without deleting the record. Written-off invoices appear in your reports for your accountant.

## Collecting overdue payments in person

If you see the customer in person, you can still collect via Tap to Pay:
1. Open the overdue invoice
2. Tap **Collect payment**
3. Select **Tap to Pay**
4. Have the customer tap their card

The invoice is marked as paid and the payment is recorded.