How to Calculate Bill-wise Interest on Party Outstanding (BUSY / Tally)

Charging interest on late payments is common in mandis, distribution and wholesale. Doing it by hand from a ledger is slow and leads to arguments, because every bill has its own date, credit period and part payments.

What a correct interest working needs

• Bill by bill: each bill's due date = bill date + credit days
• Grace days before interest starts
• Payment matching: which payment cleared which bill (first-in-first-out or as you set)
• Opening balance interest from the year start
• A clear statement for the party showing every bill, days late and interest

Do it in seconds with BharatLaxmi

1. Pick the party

   Read the ledger straight from BUSY, or import from Excel / Tally.

2. Set the terms

   Rate, credit days, grace days, account-wise or bill-wise terms; buyer, seller or both sides.

3. Get the working

   Bill-by-bill interest with smart payment matching, then a Party Statement PDF / Excel to send.

See screenshots, video and the free trial on the BharatLaxmi page. To check that your ledger matches the party's ledger before you send interest, use BharatDarpan.

Updated 2026-10-21 · Bharat Busy Care, BUSY partner, Sri Ganganagar