Credit Check - Item Category

[Former Member]

Hi, can anyone advise why credit memo/debit memo/return item categories are not subjected to credit exposure update and credit check in std SAP even if we tick the credit active in the item categories? What is the rationale?

Thanks

Peter

[Former Member]

hello, friend.

technically, you very well can include credit/debit memo requests in credit check by assigning these document types to credit group 01 (for documents) and maintaining OVA8 for credit group 01 documents. once the billing blocks in these documents are released and credit/debit notes are generated/posted to accounting, your company's receivables from customers are updated.

however, some possible reasons why these types of documents are not included in credit check are:

1. these reflect situational transactions and should not disrupt sales/credit trending analysis

2. for prudence, companies do not want to affect credit exposure and prefer to treat credit/debit memos as separate issues

3. it could be legal requirements in some locations or company policy that customers be refunded for goods physically returned

regards.

[former_member184555]

Hi

Credit Mangement is followed to have a control over the receivables and thereby to reduce the risk. For the items you have mentioned there is no risk involved.

Thanks,

Ravi