Allocating Payments to Periods

Allocating Payments to Periods

By default, payments are automatically allocated to the earliest unpaid period. You can override this when needed.

Automatic Allocation

When a payment is recorded:

1. Latch finds the lease associated with the tenant/property.
2. It identifies the earliest unpaid payment period.
3. The payment is allocated to that period.
4. If the payment exceeds the period's amount, the remainder is allocated to the next period.

Manual Allocation

To allocate a payment to a specific period:

1. Open the payment detail page.
2. Click Change Allocation.
3. You will see a list of payment periods for the lease.
4. Select the period(s) you want to allocate to.
5. Enter the amount to allocate to each period.
6. Click Save Allocation.

Split Allocation

A single payment can be split across multiple periods. This is useful when:

• A tenant pays multiple months at once.
• A tenant makes a partial catch-up payment.

Reallocation

You can reallocate a payment at any time:

1. Open the payment.
2. Click Change Allocation.
3. Remove the current allocation and select new periods.

Tip: If a tenant is catching up on arrears, you may want to manually allocate their payment to the specific overdue period rather than relying on automatic allocation.