# Credit sales and part payments (pay later in instalments)

> Sell on credit with no payment, or take 20 % now, 50 % later and the rest at the end. Real step-by-step example with every screen in SmartPOS Hub.

Source: https://docs.smartposhub.com/selling/credit-and-partial-payments/  
Last updated: 2026-10-30  
Product: SmartPOS Hub (https://smartposhub.com)

This page shows how to **sell on credit** in SmartPOS Hub: a customer takes goods with no payment, or pays part now (for example 20 %) and the rest later in one or more instalments. You will see every screen of a real example, from the sale to the last payment, plus credit limits, reminders and the mobile app.

> **How to turn it on**
> 1. **Plan:** Included in every plan (core selling).
> 2. **Switch:** Settings › Business Settings › POS: the Credit Sale button must not be disabled (Disable credit sale button).
> 3. **Permission:** User Management › Roles: the user needs sell / payment permissions, and the role must not have Disable credit sale ticked.
> - **Mobile app:** SmartPOS Business: Pay later (credit) in the payment screen.

## How credit works in one minute

- Every sale has a **total**, a **total paid** and a **sell due** (what is still owed).
- The **payment status** follows the money: **Due** (nothing paid), **Partial** (some paid), **Paid** (all paid). You never set it by hand.
- What a customer owes from all their sales adds up to their **Balance due**, shown on the customer page and in the ledger.
- You can collect the money later from the sale (**Add payment**), from the customer page (**Add payment**), from the customers list (**Pay**) or at the POS (**Receive Payment** next to the customer).
- A **credit limit** on the customer stops new credit sales once their unpaid total would go above it.

| Payment status | Means | Shown as |
|---|---|---|
| **Due** | Nothing paid yet | Orange badge |
| **Partial** | Some money received, a balance is still due | Blue badge |
| **Paid** | The full total was received | Green badge |
| **Overdue** (filter) | Due or Partial and older than the customer's pay term | Sales list filter **Payment Status › Overdue** |

## The worked example

We sold goods for **1,000** (in your currency) to the customer *Docs Demo – Ayesha Khan*, who has a credit limit of 2,000 and a pay term of 30 days. She paid in three parts:

| Date / step | Paid now | Paid so far | Still due | Status | Where it was recorded |
|---|---:|---:|---:|---|---|
| Day 1 – the sale | 200 (20 %) cash | 200 | 800 | **Partial** | POS › **Multiple Pay** |
| Day 10 – second payment | 500 (50 %) bank transfer | 700 | 300 | **Partial** | **All sales › Actions › Add payment** |
| Day 30 – final payment | 300 (30 %) cash | 1,000 | 0 | **Paid** | Customer page › **Add payment** |

On Day 1 she also took a small item worth 79 with **no payment at all** (Credit Sale), so you can see a **Due** sale next to the others.

**Note:** The 1,000 total includes a small order discount to round the amount. Your own sales work the same with any amount.

## Before you start

1. **Add the customer.** A credit sale needs a named customer — **Walk-In Customer** cannot owe you money. Go to **Contacts › Customers › Add** (or press the **+** next to the customer box in the POS). See [Customers & contacts](https://docs.smartposhub.com/customers/contacts/).
2. **Set the credit limit and pay term** in the **Balance & credit** section of the customer form:
   - **Credit Limit** — the most this customer may owe at one time. *Keep blank for no limit.* You can set a default for new customers in **Settings › Business Settings › Contact › Default credit limit**.
   - **Pay term** — how many days or months they have to pay (for example *30 Days*). Sales older than this count as **Overdue**.
   - **Opening Balance** — only if the customer already owed you money before you started using SmartPOS Hub.

   
![Add a new contact form with Pay term 30 Days and Credit Limit 2000 highlighted in the Balance and credit section](https://docs.smartposhub.com/_astro/customer-balance-and-credit-fields.DN17Zblg.png) (web app page: `/contacts?type=customer`)
*Customer form: pay term 30 days and a credit limit of 2,000.*

3. **Open the cash register** if your POS asks for it (see [Cash register and closing](https://docs.smartposhub.com/selling/cash-register-and-closing/)).

## Step 1 – Sell and take 20 % now (Partial)

1. Open **POS** (top bar). In the customer box, search for the customer and pick them. Once a customer owes money, the POS shows **Customer Due** under their name.
2. Add the products (scan, search or tap the tiles). Check the **Total Payable** — here **1,000.00**.

   
![POS V1 with customer Docs Demo – Ayesha Khan selected, four products in the cart and Total Payable 1,000.00](https://docs.smartposhub.com/_astro/pos-cart-for-credit-customer.yhueHCmB.png) (web app page: `/pos/create`)
*The cart for our credit customer: Total Payable 1,000.00.*

3. Press **Multiple Pay** (not **Cash** — **Cash** assumes the full amount is paid).
4. In the **Payment** window type the part the customer pays now in **Amount** — here **200** — and choose the **Payment Method** (Cash, Card, Bank Transfer…). If you count notes with **Cash Denominations**, the amount fills in from the notes.
5. Look at the summary on the right: **Total Paying 200.00** and **Balance 800.00** (in red). The balance is the part that goes on the customer's account.

   
![Payment window with Amount 200, method Cash, two 100 notes counted, Total payable 1,000, Total paying 200 and Balance 800 in red](https://docs.smartposhub.com/_astro/multiple-pay-20-percent-paid.BTRmJybq.png) (web app page: `/pos/create`)
*Multiple Pay: 200 paid now, 800 left as due.*

6. Press **Finalize Payment**. The POS asks *“Paid amount is less than the payable amount. Please press OK to submit the sale.”* Press **OK**.

The sale is saved with payment status **Partial**: total 1,000, paid 200, sell due 800. The receipt prints as usual and shows the payment and the amount still due.

**Tip:** To split one payment across two methods (for example 100 cash + 100 card), press **Add Payment Row** in the same window.

## Full credit: sell with no payment (Due)

1. Pick the customer and add the products, as above.
2. Press **Credit Sale** in the bottom bar. There is no payment window: the sale is saved straight away with **nothing paid**.

   
![POS bottom bar with Total Payable 79.00 and the Credit Sale button highlighted between Suspend and Card](https://docs.smartposhub.com/_astro/pos-credit-sale-button.D-l4L3yq.png) (web app page: `/pos/create`)
*Credit Sale saves the sale with no payment.*

The sale gets the status **Due** and its full amount is added to the customer's balance due. In the app, the same thing is **Pay later (credit)**.

**Note:** Don't see **Credit Sale**? An admin may have hidden it in **Settings › Business Settings › POS** (*Disable credit sale button*) or for your role in **User Management › Roles** (*Disable credit sale*). You can still sell on credit by entering less than the total in **Multiple Pay**, or **0**.

### When the credit limit stops a sale

If the new sale would push the customer's unpaid total above their **Credit Limit**, SmartPOS Hub refuses to save it and explains why — for example *“Limit: 2,000.00 · Already due: 879.00 · This sale: 1,790.95 (would make 2,669.95). Take a payment now, or raise the limit on the customer’s page.”*

![Credit limit reached window: Docs Demo – Ayesha Khan is over the credit limit, with limit, already due and this sale amounts](https://docs.smartposhub.com/_astro/credit-limit-exceeded-warning.CgodUQDp.png) (web app page: `/pos/create`)
*The credit limit check runs when you finalize. Nothing is saved.*

What you can do:
- Take a bigger payment now (**Multiple Pay**) so the amount left due fits the limit.
- Collect an older due first (see Step 3), then sell.
- Raise the limit: customer page › **Edit** › **Balance & credit** › **Credit Limit**.

Drafts, quotations and sales orders are not checked, because they are not final sales yet. The check counts only unpaid **final** sales.

## Step 2 – Record the 50 % payment on the sale (still Partial)

Use this when the customer pays **for a specific invoice**.

1. Go to **Sell › All sales**. Type the customer's name in the search box to find their sales. You can see the **Payment Status**, **Total paid** and **Sell Due** of each one.

   
![All sales list filtered to Docs Demo with NY-00280 Due 79.00 and NY-00279 Partial 1,000.00 total, 200.00 paid, 800.00 due](https://docs.smartposhub.com/_astro/sales-list-partial-and-due.tFBW9OQm.png) (web app page: `/sells`)
*After day 1: one Partial sale and one Due sale.*

2. On the sale, open **Actions** › **Add payment**.

   
![Actions menu of sale NY-00279 open with Add payment highlighted, below View, Edit, Print Invoice and above View Payments](https://docs.smartposhub.com/_astro/sales-list-actions-add-payment.DpFRCoRL.png) (web app page: `/sells`)
*Actions › Add payment on the sale.*

3. In the **Add payment** window, check the customer, invoice and total. Then fill in:
   - **Payment Method** — here **Bank Transfer** (extra fields such as *Bank Account No* appear for some methods).
   - **Paid on** — the date and time the money arrived.
   - **Amount** — here **500**.
   - **Payment Account** — where the money landed (cash drawer, bank account). Optional, but it keeps [Payment accounts](https://docs.smartposhub.com/reports/payment-accounts/) right.
   - **Payment Note** and **Attach Document** (for example a bank slip) — optional.

   
![Add payment window for NY-00279: Bank Transfer, Amount 500, account Business Checking, note Second instalment (50%)](https://docs.smartposhub.com/_astro/add-payment-50-percent.UGQDTZtl.png) (web app page: `/sells`)
*Add payment: the 500 second instalment.*

4. Press **Save**.

The sale now shows **paid 700, due 300**, still **Partial**. To see every payment of a sale, open **Actions › View Payments**:

![View Payments window for NY-00279 with status Partial and two payments: 200 Cash and 500 Bank Transfer](https://docs.smartposhub.com/_astro/sale-payments-list-partial.JQyh-1vi.png) (web app page: `/sells`)
*View Payments lists each instalment with method, account and note. Edit or delete a payment here if you made a mistake.*

From this window you can also press **Send Payment Remider** to send the customer a reminder (e-mail or SMS, if set up) or **Send Payment Received Notification** after a payment.

## Step 3 – Collect the rest from the customer page (Paid)

Use this when the customer comes in and says *“I want to pay what I owe”*, without naming an invoice.

1. Open the customer: **Contacts › Customers**, then click the name (or use **Switch contact** at the top of any contact page). The cards at the top show **Total sales**, **Balance due**, **Advance Balance** and the **Credit Limit** bar (*19% used (379.00 unpaid)*).

   
![Customer page cards: Total sales 1,079.00 received 700.00, Balance due 379.00, Advance Balance 0.00, Credit Limit 2,000.00 with 19% used](https://docs.smartposhub.com/_astro/customer-balance-due-and-credit-limit.kML820H1.png) (web app page: `/contacts/…`)
*Before the final payment: 379 still due (300 on the first sale + 79 on the credit sale).*

2. Press **Add payment** in the quick actions. The same window opens from **Contacts › Customers › Actions › Pay**, and at the counter from the **Receive Payment** button (hand icon) next to the customer box in POS V1.

   
![Customer page quick actions with Add payment highlighted next to New sale, Send ledger, Add Discount and Edit](https://docs.smartposhub.com/_astro/contact-add-payment-button.CJQJVnk4.png) (web app page: `/contacts/…`)

3. The window shows **Total Sale**, **Total Paid**, **Total Sale Due** and the opening balance. The **Amount** is filled with everything due — change it to what the customer pays now. Here we enter **300**, method **Cash**, account **Cash Drawer – Main Store**.

   
![Add payment window for the customer: total sale 1,079, total paid 700, total sale due 379, amount 300 cash](https://docs.smartposhub.com/_astro/pay-due-from-customer-page.BmCyEdWv.png) (web app page: `/contacts/…`)
*Pay due from the customer page.*

4. Press **Save**.

SmartPOS Hub spreads the money over the customer's **oldest unpaid sales first**. The 300 covered the rest of the 1,000 sale, which is now **Paid**; the newer 79 credit sale is still **Due**.

![All sales list with NY-00279 Paid 1,000.00 fully paid, NY-00280 Due 79.00 and another Partial sale](https://docs.smartposhub.com/_astro/sales-list-paid-and-due.B8WdRW-Z.png) (web app page: `/sells`)
*All three statuses side by side: Paid, Due and Partial.*

![Customer page after payment: received 1,000.00, Balance due 79.00, credit limit 4% used](https://docs.smartposhub.com/_astro/customer-paid-in-full-balance.CgN9U1n2.png) (web app page: `/contacts/…`)
*After the final payment only the 79 credit sale is left; the credit limit bar drops to 4 %.*

In the customer's **Payments** tab, a payment taken this way shows as one *parent* payment with the part used for each invoice under it (*Parent Payment: …*):

![Customer Payments tab with the 300 parent payment split into a 300 child payment for invoice NY-00279](https://docs.smartposhub.com/_astro/customer-payments-tab-parent-payment.DJEamH17.png) (web app page: `/contacts/…`)

## Check the customer ledger and balance

Open the customer's **Ledger** tab. The **Account Summary** shows **Total invoice**, **Total paid** and **Balance due** for the chosen dates and overall; the table below lists every sale and payment with debit and credit. Use **PDF** or **E-mail** to send it to the customer, and **Ledger format** to choose the layout.

![Ledger tab Account Summary: total invoice 1,079.00, total paid 1,000.00, balance due 79.00](https://docs.smartposhub.com/_astro/customer-ledger-account-summary.CIzdZJQ3.png) (web app page: `/contacts/…`)
*Ledger: 1,079 invoiced, 1,000 paid, 79 due.*

More: [Customer ledger and statements](https://docs.smartposhub.com/customers/customer-ledger/).

## What the invoice shows

The printed invoice (and the online **Invoice URL**) always lists the payments taken so far and what is still due:

![Invoice NY-00279 listing three payments 200 cash, 500 bank transfer, 300 cash, Total Paid 1,000.00 and Total 1,000.00](https://docs.smartposhub.com/_astro/invoice-paid-in-full.DpVJYOW2.png)
*Paid in full: every instalment is listed with its date.*

![Invoice NY-00280 for 79.00 with Total Due 79.00 and no payments](https://docs.smartposhub.com/_astro/invoice-credit-sale-total-due.BM6QYEj8.png)
*Credit sale: Total Due shows what the customer owes.*

Reprint at any time from **All sales › Actions › Print Invoice**, so the customer gets an updated copy after each instalment. The invoice layout decides the exact look — see [Receipts and invoice layouts](https://docs.smartposhub.com/selling/receipts-and-invoice-layouts/).

## Advance payments and customer balance

- **Balance due** = everything still unpaid: sales, hotel bookings and gym memberships, the opening balance, minus returns, ledger discounts and everything paid. Positive means the customer owes you; **negative** means you owe them (for example a return that was not refunded yet).
- **Advance Balance** is money the customer left with you to spend later. It is separate from balance due.
- To take an advance: customer page › **Add payment**, and enter more than what is due (or pay when nothing is due). The extra is kept as advance.
- To use it: in the POS payment window or in **Add payment**, choose the method **Store credit (advance)**. The POS shows **Advance Balance** at the top of the payment window. If the customer doesn't have enough, you get *“Required advance balance not available”*.
- Store credit from returns also lands here — see [Gift cards and store credit](https://docs.smartposhub.com/selling/gift-cards-and-store-credit/).

Details: [Customer credit limits and advances](https://docs.smartposhub.com/selling/customer-credit-limits-and-advances/).

## Due dates, overdue sales and reminders

- The customer's **Pay term** (for example 30 days) sets when a sale becomes overdue. You can also set a pay term on a single sale in **Sell › Add Sale**.
- Find overdue sales: **Sell › All sales › Filters › Payment Status › Overdue**. The home dashboard has a **Sales Payment Due** list.
- **Reports › Payment by Age** groups unpaid invoices by how many days they are late (1–15, 15–30 … 90+). See [Sales reports](https://docs.smartposhub.com/reports/sales-reports/).
- Send a reminder from **View Payments › Send Payment Remider**, or let SmartPOS Hub send it automatically when an invoice becomes overdue: open **Notification Templates** in the sidebar, pick the payment reminder template and switch on **Auto Send Email** or **Auto Send SMS**. Messages go out by e-mail or SMS only when those are set up for your business.
- The customer can also see their invoices, payments and statement in the [customer portal](https://docs.smartposhub.com/customers/customer-portal/).

## Online orders and the Shopper app

Shoppers cannot choose “buy on credit” in your online store or the SmartPOS Shopper app; they can only use the payment options you switched on (see [Payments for online orders](https://docs.smartposhub.com/online/payments-for-online-orders/)). Orders paid later — for example **cash on delivery** or **pay at pickup** — arrive as sales that stay **Due** until you record the payment, exactly as above. If you want a regular customer to pay online, send them the invoice link (**Actions › Invoice URL**); when invoice payment links are set up in **Settings › Payments**, they can pay it there. See [Payment methods](https://docs.smartposhub.com/selling/payment-methods/).

## In the SmartPOS Business app

The same credit flow works on the phone:

- **Sell:** in the payment screen, enter less than the **Amount due** (it shows *“… will be due”*) or choose **Pay later (credit)** — *“The balance is added to the customer’s account.”* If the sale goes above the customer's credit limit you see **Over the credit limit**, and the server refuses it just like the web POS.
- **Collect on a sale:** open the sale (*Partly paid* badge, **Paid** and **Due** amounts) and tap **Add payment**.
- **Collect from the customer:** open the customer and tap **Receive payment**. The header explains the balance in plain words — *Customer owes you*, *You owe this customer* or *All settled* — with *What makes up this balance*, and the credit limit bar.
- **Send the ledger:** customer › **Ledger** › **Export** (PDF, Excel or CSV, any period) and share it on WhatsApp or e-mail.

![App payment screen with amount due and payment methods](https://docs.smartposhub.com/_astro/pos-payment.DJdeOFtd.png)
![App sale detail: invoice partly paid with paid and due amounts and an Add payment button](https://docs.smartposhub.com/_astro/app-sale-partly-paid.ESqZPdOR.png)
![App customer page: Customer owes you with what makes up the balance, credit limit and Receive payment button](https://docs.smartposhub.com/_astro/customer-owes-you.CX1tpgRe.png)
*SmartPOS Business: payment screen, a partly paid sale, and a customer who owes you.*

More: [Customers and ledger in the app](https://docs.smartposhub.com/business-app/customers-and-ledger/).

## The supplier side

Buying on credit from a supplier works the same way in reverse: a purchase can be saved unpaid or part-paid, its payment status is Due / Partial / Paid, and you pay later with **Add payment** on the purchase or **Pay** on the supplier. See [Supplier payments and credit](https://docs.smartposhub.com/inventory/supplier-payments-and-credit/).

## Tips and mistakes to avoid

- **Don't press Cash for a part payment.** Cash finishes the sale as fully paid. Use **Multiple Pay** and type the amount.
- **Pick the right date in Paid on.** Payments count in reports and the cash register on that date.
- **Choose a Payment Account** for every payment, so cash drawer and bank balances match.
- **Use the customer page for lump sums,** the sale's **Add payment** for one invoice. Both update the same balance.
- **Wrong payment?** Fix it in **View Payments** (edit or delete) instead of adding a negative payment.
- **Set credit limits** for customers who buy on credit often — it is the only automatic stop.

## Related pages

- [Customer credit limits and advances](https://docs.smartposhub.com/selling/customer-credit-limits-and-advances/)
- [Customer ledger and statements](https://docs.smartposhub.com/customers/customer-ledger/)
- [Payment methods](https://docs.smartposhub.com/selling/payment-methods/)
- [Supplier payments and credit](https://docs.smartposhub.com/inventory/supplier-payments-and-credit/)

## Frequently asked questions

### Can a customer take goods with no payment at all?

Yes. Pick the customer at the POS and press Credit Sale. The whole amount is saved as due on the customer's account and the sale shows the status Due. Walk-In Customer cannot buy on credit, so add the customer first.

### Can a customer pay in three instalments, for example 20 %, 50 % and 30 %?

Yes. Take the first amount in the Multiple Pay window, then record each later amount with Add payment on the sale or Add payment on the customer page. The status moves from Partial to Paid when the last amount is in.

### What is the difference between Due, Partial and Paid?

Due means nothing has been paid yet, Partial means some money was received and a balance is left, and Paid means the full total was received. The status updates by itself every time you record a payment.

### Why did the POS block my credit sale?

The customer has a credit limit and this sale would push the unpaid total above it. The message shows the limit, what is already due and what this sale would add. Take a payment now, or raise the limit on the customer's page.

### Which button should I use for a later payment, Add payment on the sale or on the customer?

Use Add payment on the sale when the customer pays for one specific invoice. Use Add payment on the customer page (or Pay in the customers list) when they pay a lump sum; it is spread over their oldest unpaid invoices first.

### What happens if the customer pays more than they owe?

When you take the payment from the customer page, any amount above what is due is kept as advance balance. You can use it on the next sale with the payment method Store credit (advance).

### Do part-paid sales count in my sales reports?

Yes. A sale counts as revenue on the sale date for its full total. The money received shows in the payment reports and the cash register on the day each payment is taken, and the unpaid part stays in receivables until it is paid.

### Can I do credit sales from the SmartPOS Business app?

Yes. In the app's payment screen choose Pay later (credit), or enter less than the total. Later, open the customer and tap Receive payment, or open the sale and tap Add payment.