# Debtor management software that follows up every debtor

Paidnice is credit control and accounts receivable automation for **Xero and QuickBooks Online**. It chases every B2B invoice until it is paid.

Source: https://www.paidnice.com/debtor-management-software

## What is debtor management software?

**Debtor management software, also called a debtor management system or debtor tracking software, tracks who owes you money and follows up for you.** It works from your debtors ledger and covers five jobs between the invoice and the payment:

- **Reminders:** emails and texts before and after the due date.
- **Statements:** a summary of every open invoice, sent on a schedule.
- **Late fees and interest:** the charges your terms allow, after a grace period.
- **Payments:** a portal where customers pay online, with payment plans.
- **Reporting:** aging, DSO and who pays late.

Paidnice runs all five from the invoices already in your Xero organisation or QuickBooks account, with different rules for each customer group.

## Debtor management vs debt collection

Three kinds of software use the word "debtor": debtor management software for business invoices, debt collection software for agencies, and consumer debt apps for personal debts.

| Type | Who it is for | What it does | Where it stops |
| --- | --- | --- | --- |
| Debtor management software (Paidnice) | Businesses that invoice other businesses on terms | Reminders, statements, late fees, a payment portal and escalation, from your own invoices in Xero or QuickBooks Online | Needs Xero or QuickBooks Online. Other ledgers need the Custom plan. |
| Debt collection software | Collection agencies and recovery teams | Case files, agency workflows and compliance for debts handed over for recovery | Starts after you have given up on the debt |
| Consumer debt apps | People paying off their own debts | Budgets and personal repayment plans | Not for business invoices |

**What it costs:** Paidnice starts from US$69, £49, A$99, NZ$109 + GST or R1,100 a month, priced by invoice volume. Pro, with the full core feature set, starts from US$99, £74, A$139, NZ$149 + GST or R1,600. Your first 20 actions are free. See [pricing](https://www.paidnice.com/pricing).

## What to do with each aged debtor

An aged debtor is a customer with an invoice past its due date. An aged debtor report groups what each customer owes by how late it is: current, 1 to 30, 31 to 60, 61 to 90 and over 90 days. Paidnice runs a different step at each age.

| Age | Typical action | In Paidnice |
| --- | --- | --- |
| Current | Courtesy reminder before the due date | Scheduled reminder |
| 1 to 30 days overdue | Reminder and statement | Email and SMS, then a statement with a payment link |
| 31 to 60 days overdue | Late fee and a call | Fee or interest posted, escalation task created |
| 61 to 90 days overdue | Firm escalation | Phone call or Stop Credit, assigned to a person |
| Over 90 days | Final notice | Template legal letter, printed and posted on request on Pro and above |

Each customer group runs its own policy, so you set the step and the timing for each age. More on [aged debt analysis](https://www.paidnice.com/dictionary/aged-debt-analysis) and [how to reduce aged debt](https://www.paidnice.com/blog/reduce-aged-debt).

## Paidnice is a debtor management system for small business

Most small businesses on Xero or QuickBooks Online do not have a credit controller. They need every debtor followed up on their terms, without hiring one or handing the debt to an agency.

- **Runs on your own invoices:** Paidnice reads every invoice from Xero or QuickBooks Online and posts payments back
- **Follows up from the due date:** so fewer debts reach an agency
- **Built for business invoices:** B2B payment terms, statements and late fees, not personal repayment plans

## How Paidnice manages your debtors

### Reminders by email, SMS and WhatsApp

Before it is due. Reminders go out before, on and after the due date, with different rules for each customer group. Each one has a link to pay. [More on reminders](https://www.paidnice.com/email-sms-reminders)

### Customer statements

Every month. Customers with a balance get a statement on the day you choose, with a Pay now link inside the PDF. [More on statements](https://www.paidnice.com/automated-customer-statements)

### Late fees and interest

Once it is late. Paidnice adds the fee or interest your terms allow, posts it to Xero or QuickBooks and can tell the customer. Each fee can wait for your approval. [More on late fees](https://www.paidnice.com/late-fees)

### AI that reads replies and disputes

When they reply. Paidnice reads each reply, logs a promise to pay, and looks into any dispute to propose the next step. Pre-approve the types of action you trust for each customer, and the rest wait for your approval. [More on reply handling](https://www.paidnice.com/ai-accounts-receivable)

### Escalations

If it stalls. When reminders stop working, the account moves to a person on your team with its full history. They choose the next step: a call, a letter or a credit stop. [More on escalations](https://www.paidnice.com/escalations)

### Payment portal and plans

When they pay. Customers see every open invoice and pay by card or bank debit, or move to a payment plan. No login needed. [More on the payment portal](https://www.paidnice.com/customer-payment-portal)

### Aged debtors, credit scores and cash forecast

At any time. See what every debtor owes by age and the cash due to land each week. Each customer gets a credit score from 0 to 100, so you know who to call first. [More on reporting](https://www.paidnice.com/accounts-receivable-reporting)

## What to look for in debtor management software

- **Reads your ledger:** It pulls every open invoice from Xero or QuickBooks Online, old ones included.
- **Rules per customer group:** Different reminders, terms and fees for good payers and slow payers.
- **Aged debtors and scores:** Each debtor by age, with a credit score from 0 to 100.
- **Late fees you control:** A fee or interest after a grace period, only where you choose.
- **A way to pay:** A payment link in every reminder, and a portal with payment plans.
- **Escalation to a person:** Stalled accounts go to your team with the full history.

## Price

Paidnice starts from US$69 a month, priced by invoice volume. Pro, with the full core feature set and unlimited users, starts from US$99 a month. Your first 20 actions are free. See [pricing](https://www.paidnice.com/pricing).

## Debtor management: common questions

### What is debtor management?

Debtor management is how a business gets the customers it has invoiced on credit to pay on time: clear terms, reminders, statements, late fees and escalation. It is the usual term in Australia and New Zealand for what the UK calls credit control and the US calls accounts receivable management. Debtor management software runs these steps from your Xero or QuickBooks Online invoices. See [debtor management, defined](https://www.paidnice.com/dictionary/debtor-management).

### Is debtor management the same as debt collection?

No. Debtor management follows up your own business customers while you still keep the relationship: reminders, statements, late fees and escalation. Debt collection starts when a debt is handed to an agency for recovery. Paidnice is debtor management software.

### Which debtor management software works with Xero?

Paidnice connects to your Xero organisation through the official Xero integration and was the global Xero Small Business App of the Year in 2025. It also works with QuickBooks Online. See [debtor management for Xero](https://www.paidnice.com/xero/debtor-management).

### Does Paidnice work for businesses in Australia and New Zealand?

Yes. Paidnice was Xero Small Business App of the Year in Australia in 2025 and in New Zealand in 2026. You pay in your own currency, from A$99 or NZ$109 a month (NZ prices exclude GST), and SMS reminders use dedicated sending routes for Australia and New Zealand. See the guides for [Australia](https://www.paidnice.com/blog/debtor-management-software-australia) and [New Zealand](https://www.paidnice.com/blog/debtor-management-software-new-zealand).

### Is a debtor management system the same as credit control software?

They describe the same job: getting the money you are owed, on time. A debtor management system focuses on tracking and following up debtors. Credit control software covers the wider process, from payment terms to collections. Paidnice does both.

### Which debtor management software suits accountants and bookkeepers?

Choose one that connects to each client's Xero organisation or QuickBooks account and runs on its own after setup. Paidnice Pro has unlimited users, so the accountant and the client's team work in the same account. See [credit control software for accountants](https://www.paidnice.com/blog/credit-control-software-accountants).

### How does automated debtor management cut debtor days?

Debtor days, also called DSO, is the average number of days your customers take to pay. Paidnice follows up every debtor on the same schedule and gives customers a portal to pay from, so no overdue invoice waits for someone to notice it. Paidnice customers have a 40% lower DSO on average than when they started. See [days sales outstanding](https://www.paidnice.com/dictionary/days-sales-outstanding).

### How much does debtor management software cost?

Paidnice Pro has the full core feature set and unlimited users, from US$99 a month for 300 invoices to US$799 a month for 4,000. Plans start from US$69, £49, A$99, NZ$109 (excluding GST) or R1,100 a month, priced by invoice volume. Your first 20 actions are free, with no credit card. See [pricing](https://www.paidnice.com/pricing).

### How long does setup take?

Under 15 minutes. Connect Xero or QuickBooks, then review and approve the draft policies Paidnice prepares for you. Nothing runs until you approve them.

### Does it work with the invoices I have already sent?

Yes. Paidnice reads the invoices already in Xero or QuickBooks, including the ones that are overdue now. You can follow up existing overdue invoices, apply late fees in bulk, and either update existing invoices or issue fees as new invoices.

### Can my customers pay directly through Paidnice?

Yes. Every reminder includes a payment link, and your customers get a self-service portal where they can view, download and pay invoices. Payments are recorded against the invoice in Xero or QuickBooks.

### Will follow-up damage my customer relationships?

You control every message. Reminders send from your own email address on Pro, in your own words and branding. Exclude specific customers or whole groups and add grace periods. Run each policy automatically, or hold its actions for your approval.

### How does Paidnice connect to my accounting data?

Through the official Xero and QuickBooks integrations. Nothing changes in your accounting system unless a rule you set makes it happen.

## Related

- [Debtor management for Xero](https://www.paidnice.com/xero/debtor-management): How it works in your Xero organisation
- [Credit control software](https://www.paidnice.com/credit-control-software): The UK term for the same job
- [Debtor management software in Australia](https://www.paidnice.com/blog/debtor-management-software-australia): For Australian businesses
- [Debtor management software in New Zealand](https://www.paidnice.com/blog/debtor-management-software-new-zealand): For New Zealand businesses
- [Debtor management software in South Africa](https://www.paidnice.com/blog/debtor-management-software-south-africa): For South African businesses
- [Debtor management](https://www.paidnice.com/dictionary/debtor-management): The term, defined