Credit Management Basics

[Former Member]

Dear Friends,

Can anyone explain that when we check the credit management for a customer in FD32 you get the Central data where you maintain Credit Limit Assigned & Maximum Permitted Credit Limits.

Can you explain a detailed description of the difference between the two????.I have searched a lot in sdn but wasnt able to get the suitable answers.

Relevant answers would be suitably rewarded......

Thanks

[Former Member · Accepted solution]

Hi,

Credit Limit Assigned & Maximum Permitted Credit Limits.

means frist one actuval credit limit single company code.

second one all the company codes example Group of companies.

Credit limit: Total limit across all control areas

The amount in this field specifies the overall credit limit the customer may receive in all credit control areas.

Use

The amount in this field is the total of the credit limits granted to the customer for all credit control areas.

Largest individual limit of a credit control area

The amount specifies the maximum credit limit that the customer currently receives in a particular control area.

I hope it will help full for u.

Y.venkataswamy.y

[Former Member · Accepted solution]

Thanks Pals!

for the clarification .....suitable points have been rewarded.

[Former Member]

Hi Bose,

Current Credit limit assigned

Total amount 10.00: this specify the customer getting overall credit limit from all CCAs currently

Largest indiv.limit 10.00: Currently given credit limit to the customer

Maximum permitted credit limit

Total amount 10.00: Total amount that may be given for all CCAs

Individual limit 10.00: The customer may get up to this limit for a customer

with regards

prasad

[Former Member]

Hi Bose,

For a business there can be more than one Credit control areas. Eg: Reliance, it has many companies like power, tele communications, energy.. etc. There is a customer who buys from all the companies. the CCAs would be according to the busness requirement. Total credit limit would be calculated taking all the CCAs say 1000000, Then it will be broken down into individual CCA i.e 10000(According to the business requirement). In FD32 customer credit limit for a CCA is maintained to the total credit limit of the business.

Total limit: 100000(so the customer overall credit limit )

CCA1: 25000

CCA2: 25000

CCA3: 50000

with regards

prasad

[Former Member]

Hi prasad,

I understand that the total allocated credit limit is broken dow into individual CCA's but my question is that you have the following data in the central data screen:

For ex.

Current Credit limit assigned

Total amount 10.00

Largest indiv.limit 10.00 Credit control area 9012

Maximum permitted credit limit

Total amount 10.00

Individual limit 10.00

Currency INR

what is the difference in these 2 parameters??