Dunning levels determine which dunning text is selected for the dunning notice. The severity of the dunning letter varies according to the dunning level. For the first dunning level for example, you can define a text that merely reminds a customer of their outstanding debts. For the second dunning level, you define a text with a more insistent tone.

For each dunning procedure, you must define at least one dunning level. The maximum number of dunning levels permitted is nine. For each level, specify the number of days in arrears an item must be to be assigned this dunning level (see the figure below).

Dunning procedures that have only one dunning level are referred to in the system as payment reminders. You assign a single-level dunning procedure to very important customers and public corporations. You therefore only send payment reminders to these customers.

When you set up a dunning procedure, the system defaults the number of days in arrears on the dunning levels screen. For the first dunning level, the system suggests the grace days for the line items; for all further dunning levels, the system adds dunning intervals in days to the days in arrears of the previous dunning level (see the figure below). You can overwrite these default values.