Credit check on payment terms

[Former Member]

Dear Experts

I want to perform check on payment terms, if the sales invoice is overdue, system should triger error. What is the configuration required? Here is my current configuration on OVA8

Regards.

[Former Member · Accepted solution]

Thank you all very much for your replies.

Actually,my business logice was activated with the following configuration:

• Unchecked Payer on (Checks in Finacial accounting/old A/R summary)
• Checked Open items, Reaction: D and checked Status/Block.

Regards,

Amr

[od_manikandan]

Hai,

Setting for customer due date.

T CODE: OBB8

This Setting made for the customer whose payment term is 7 days from Billing date.

Select your Payment Terms:

Payt Terms   H007     Sales text        Payment due in 7 Days

Day limit       0          Own explanation

In Payment Term Field:

Term      Percentage    No. of days

1.            (blank)    %       7

THIS payment term to be assigned to customer in customer master sales Data.

and when a sales order - DO - Billing is prepared. Invoice due date will be considered as 7 days from the billing date.

This can be checked in FBL5n of the customer, in the standard view, from Layout option  include the Net due date column.

Now setting for credit management blocking.

As advised,

T code: OVA8

Maintain

CCar - Risk category - CG - Credit control

HCOL

S07

01

secured Credit -7 Days

CCA  RkC CG Credit control                 Curr. Update

HCOL S07 01 secured Credit -7 Days         INR   000012

In Checks:

Tick - Static  Reaction : C:  Block : Tick. Open order : Tick

Tick - Oldest open item - C - Block : Tick.

In our case, we configured like once any billing document exceeds overdue date, system gives a warning message and sales order gets saved. It can be released through VKM3.

Check these settings.

Reagrds,

Manikandan

[moazzam_ali]

Dear

Tick the checkbox oldest open item and enter 1 in number of days. The is below the field you highlighted. Please test and update.

Thank $

[Former Member]

Thank you MoazzaM for you reply, It is not working too.

Regards,

[moazzam_ali]

Dear

It should work. If it is not working then please check your combination of credit check e.g risk category, credit control area and document credit group. This is the control setting which I told you for controlling this what you required. Read the F1 help of both fields and see.

Thanks

[Former Member]

Do an F.28 for the customer, maybe some organisation changes have occurred.

Also verify the due date using FBL5N to verify your testing data is correct.

Regards

Waza

[Former Member]

Dear ali Sir and Others

          I have one similar doubt here , if we maintain oldest open item and no days here

if invoice is overdue ,suppose we gave payment terms 5% discount this is applicable for 7 days

Suppose if not maintained oldest open item and no of days here after 7 days system wont give the discount Right ..

Now if we maintain Oldest open item and No of days 7 , then invoice is not created After 7 days right ?

                                           My Doubt Regarding business process why we block invoice once crossed 7  Days  Here customer is not getting discount  But he is ready to pay full amount

plz give me one example what is the need

[Former Member]

You are not blocking the invoice you are depending the on the configuration blocking the next sales order that is entered.

No.of days is normall based on some elapsed period after the due date that you allow.  For example you might say that the invoice takes 3days in the mail to arrive and 3days for a cheque payment.  So to be considerate to the customer you may allow 7 days after the due date before a block/warning is created agains the customer for amy future sales..

Regards

Waza

[Former Member]

Dear Warren sir

i am thankful to you for replaying quickly ,, Could you explain a little bit plz plz

[Former Member]

Dear waren sir

You are not blocking the invoice you are depending the on the configuration blocking the next sales order that is entered.

Dear sir could you plz explain Next sales order is blocked .. i am confused sir plz i hope you will clarify me

thanks a lot for your cooperation

[Former Member]

In my OVA8 I have OldestOpenItem ticked with an A(warning) and a tick in status/blocked and 14 days in the Days oldestitem.  The status/blocked means for example that if there is an item that is 14 days overdue or more then a sales order will be credit blocked and the user must do VKM3/VKM4 to release the sales order.  Days oldestitem is used so SAP can check that no open item (billing) is overdue by 14 days or more.  FYI in OVA8 I am using Credit Group 01 (sales orders).

Regards

Waza