Recurring gifts which have been unpaid will fall into a lapsed status after they have been unpaid for an amount of time based on your rules for updating statuses. Lapsed gifts are considered unpaid but not noncollectable (Cancelled or Terminated), therefore, we would expect them to appear in the reminder process, but they do not.
Download and install the latest patch which contains all fixes from previous patches. If you are running an older version, download and install the latest version and then the patch.
Steps to Duplicate
1. In Revenue create a Recurring Gift 2. Edit the status to Lapsed 3. Go to Marketing and Communication > Reminders 4. Create a new reminder process with the default settings 5. Run the Process and the Lapsed gift will not appear