Credit Limit - Un-adjusted payments

[Former Member]

Hi - Why does system not consider un-adjusted payments (advance payment or some payments which were not applied) in calculating credit exposure?

Is there any setting to ensure that credit exposure always considers un-adjusted payments ?

Thank You

[Former Member]

hello, friend.

terms of payment that incorporate discounts for early payment are transaction oriented, and are linked to the specific sales order created. they are also event-driven in a sense that, even if the cash discount is indicated in the sales order (statistical condition type for cash discount), this is executory only when the actual payment is being posted in FI; the discount is invalid if posting is beyond the cash discount terms.

in the case of unadjusted payments (i.e. overpayments) resulting in an amount due the customer, these are not automatically linked to a sales order and, therefore, cannot be automatically counted as cash payments. if you wish to apply the overpayment on a transaction, this has to be done by FI (if posting of this overpayment is to be applied to an order, then this may qualify for a discount if within cash terms).

hope this helped.

regards.