Customer defaults and settings

Find this screen

Open: Settings > Customers and Suppliers > Customer Defaults and Settings

  • Select Amend to edit any of these settings.


Enable card processing

Select Enable card processing if you subscribe to Opayo and want to take card payments from customers directly into Sage 200.

Once you have selected Enable card processing, you can use Online Card Receipt (in the Sage 200 desktop) to record receipts from customers.

Note: You cannot select Enable card processing unless a merchant account has been set up in Merchant Settings (in the Sage 200 desktop).

Note: Changing this setting: Selecting Enable card processing enables card payments from Opayo. If you then disable Enable card processing, you'll no longer be able to enter online card receipts. If you've taken an online card receipt and then disable this setting, you cannot reverse or refund the online transaction.

Default allocation date (customers)

You can choose the default allocation date recorded for customer transactions.

  • Use payment/receipt date: The allocation date for the transaction is set to the same date that you enter for the receipt or payment.

    For example, if you enter a receipt dated 5 November, then allocate the receipt on 12 November, the allocation date for the transaction will be 5 November.

  • Use system date: The allocation date for the transaction is set to the date when you record the allocation in Sage 200.

    For example, if you enter a receipt dated 5 November, then allocate the receipt on 12 November, the allocation date for the transaction will be 12 November.

Customer defaults

You can enter default settings for your customer accounts and sales transactions.

Defaults entered for the customer settings are passed on to each new customer account. Defaults entered on customer accounts are passed on to transactions.

Setting defaults here can save you time when you create accounts and also helps to prevent errors.

The following table shows how information is passed from settings to accounts, and from accounts to transactions.

How default settings are applied to accounts and transactions
Customer settings Customer account Transaction
Default VAT code Default VAT code VAT code
Settlement Discount Settlement Discount Settlement Discount
Payment Terms Payment Terms Due Date (Payment Terms)
Terms Agreed Terms Agreed  
  Default Nominal Account Nominal Account

Changing your default settings:

  • Any changes you make to these defaults are only used when you create a new account. Existing accounts and transactions are not affected.

  • If you want to apply the changes to your existing accounts, you'll need to update each account separately.

Customer settlement discount values

If you offer your customers similar settlement discounts, entering the details here can save you time when creating new customer accounts. Settlement discounts also affect how VAT is calculated on invoices and credit notes.

The discount details that you enter here are applied to new customers accounts by default, which are then applied to transactions. You can change these on your individual customer accounts as you set them up, and also change them when entering individual transactions.

  • Early settlement days: Enter the default number of days (up to 999) an invoice must be paid in to qualify for the discount.
  • Discount %: Enter the default discount percentage you offer your customers.

Note: If you don't want to set default settlement discount details, leave these options blank.

Other Customer Defaults

Waiting period for recovery of VAT on bad debts

If a customer doesn't pay you for goods and services on which you have charged and paid VAT, you can get the VAT back from HMRC by claiming bad debt relief.

To reclaim the VAT, the debt must be older than the waiting period specified by the HMRC, which was 6 months as of February 2019.

  • Specify the Waiting period for recovery of VAT on bad debts as the number of months (periods) for which you want to store sales transactions before you consider processing them as bad debts.

If you want to use this, check the HMRC guidelines for details of the statutory waiting period for VAT relief. See HMRC: VAT Returns (opens in a new tab).

Default VAT code

This helps you to make sure that the correct VAT rate is used when entering transactions.

  • Select a Default VAT code that will be used when you create new customer accounts. The VAT rate on the customer's account will also be passed on to their transactions.

If most of your customers are going to use standard VAT rate, just leave the standard VAT rate selected. But if the majority of your customers are going to use a different VAT rate, you can select an alternative VAT rate.

Each time you create a new customer account, it will default to this code. But you can still change this VAT rate for individual customer accounts, and also when entering transactions.

Default terms agreed

  • Enable Default terms agreed to automatically set new customer accounts as having agreed terms (Terms Agreed will be selected by default). You can still change this on individual accounts if you need to.

  • Disable Default terms agreed if you want to choose when each individual customer account has agreed terms.

If the Terms Agreed box isn't selected for a customer account, you'll see a Terms have not been agreed prompt when entering transactions.


These Ageing settings help you manage your outstanding customer debt.

The ageing periods are used to show how old your outstanding transactions are, and are used on your aged debts reports and statements.

The payment terms are used to calculate when invoices are due to be paid.

Generally, customer debts are aged over three periods, which are typically 30, 60 and 90 days. The last aged period holds both the debts in the period and those debts that exceed that period.



Transactions to show

Use Transactions to show to choose whether to include paid transactions on your statements.

  • All transactions: All transactions are included on the statement, both paid and unpaid.

    When you run the statement (in the Sage 200 desktop), use the Transactions to show date criteria to filter these transactions.

  • Outstanding transactions only: Only unpaid transactions with an outstanding balance are included on the statement.

    When you run the statement (in the Sage 200 desktop), use the Transactions to show date criteria to filter these transactions.

  • Outstanding plus all from specified date: The statement will include both paid and unpaid transactions up to a date specified on the criteria. After this date, only unpaid transactions are included.

    When you run the statement (in the Sage 200 desktop), this sets the Transactions to show date criteria to To by default.


Use Ageing to choose how transactions are aged on your statements.

  • Use Transaction Date: The time elapsed from the transaction date.

    For example, a transaction dated 01 June will be 30 days old on the 30 June.

  • Use Due Date: The time elapsed from the due date of the transaction.

    For example, an invoice dated of 01 June with a due date of 30 June will be 30 days old on the 30th July.

  • Use Ledger Period: Taken from the period the transaction is dated in.

    For example, if your ledger periods are calendar monthly, an invoice dated 29th May be in the +1 month period on the 01 June.

Note - information

Sage is providing this article for organisations to use for general guidance. Sage works hard to ensure the information is correct at the time of publication and strives to keep all supplied information up-to-date and accurate, but makes no representations or warranties of any kind—express or implied—about the ongoing accuracy, reliability, suitability, or completeness of the information provided.

The information contained within this article is not intended to be a substitute for professional advice. Sage assumes no responsibility for any action taken on the basis of the article. Any reliance you place on the information contained within the article is at your own risk. In using the article, you agree that Sage is not liable for any loss or damage whatsoever, including without limitation, any direct, indirect, consequential or incidental loss or damage, arising out of, or in connection with, the use of this information.