on 09-06-2008 9:09 AM
Hi
can any body explain me the letter of credit steps & how is it is used.
Vinod
The financial document which is assigned to the sale order will be copied to the billing document automatically. With regards to credit management it works as a payment guarantee and also performs some checks like the customer of the L/C and sale order is same, payment terms are same etc.
Regards,
GSL.
You must be a registered user to add a comment. If you've already registered, sign in. Otherwise, register and sign in.
ok
You must be a registered user to add a comment. If you've already registered, sign in. Otherwise, register and sign in.
Dear Vinod
As you would be aware in export market, doing business is very risky and hence, exporters in the initial stage, will insist the buyer in overseas country to give guarantee in the form of some written document.
One among them is Letter of Credit. This Letter of Credit is issued by buyers' bank in their country giving confirmation that they will release payment to exporters' bank, if the conditions are adhered to as per the agreement.
In SAP, we have to create this L/C in VX11N. After giving all the required datas when you save the document, system will generate a reference at the bottom screen. You have to assign this reference in sale order in header level billing tab where you can see a field Financial doc. no
thanks
G. Lakshmipathi
You must be a registered user to add a comment. If you've already registered, sign in. Otherwise, register and sign in.
Letter of credit is used in exports scenario. It is covered in credit/risk management in SAP and comes under documentary payments.
Use VX11N to create a financial document wherein you can mention the acutal L/C number. This financial document can be assigned to sale order during document processing. There are reports to view the L/C details.
Regards,
GSL.
You must be a registered user to add a comment. If you've already registered, sign in. Otherwise, register and sign in.
User | Count |
---|---|
99 | |
11 | |
11 | |
6 | |
6 | |
4 | |
4 | |
3 | |
3 | |
3 |
You must be a registered user to add a comment. If you've already registered, sign in. Otherwise, register and sign in.