Credit Management settings in Automatic Credit Control

[Former Member]

Hi,

In automatic credit control, i would like to set for 2 scenarios for 2 types of risk categories, please refer below:

Scenario1: Sales order blocked if sales value exceed credit limit or has outstanding overdue

Scenario2: Sales order blocked if sales value exceed credit limit

Therefore, i would like to seek advise how to enable/disable credit check for outstanding overdue?

Thank you,

Regards,

Anthony.

[former_member215337]

Hi Anthony,

Scenario1: It means the Sales order value/Open Item & Oldest open items is exceeding the Credit limit

Scenario2: It means the Sales order value is exceeding the credit limit

If I understood above correctly then,

As per my knowledge, your requirement seems like General and basic scenario. If you configure the Automatic Credit check, based on the fields you maintained in OVA8, system will obviously blocks the Sales order if customer credit limits exceeds. You can also check with the below marked fields and their functionality corrosponds to the SAP standard behavior.

If you check open items and oldest open items in your config settings, system will check for that customer if any open items are existed or not. If yes then system will cummulate those values and system will also check that is there any open items are over due or not? If yes system will calculates the values of overdue items and calculates the percentage between open items and overdue items. If the outcome % is exceeding that % which you maintained in Max.open.item % then system will blocks the order.

Adding to the above, please check with 'Payer check' field also.

Hope this will help.

Thanks

Srikanth

[Former Member]

Hi srikanth balina,

Could you elaborate on the Max open item% set to 50% and No Days Open I set to 100 for OPEN ITEMS,

and Days oldest Item set to 100 for OLDEST OPEN ITEMS.

Max Open Item% = Maximum percentage of overdue open items/customer balance

For example:

If total open items(outstanding overdue) = 50 thousand, and customer remaining balance from credit limit equals 100 thousand, then,

percentage of overdue open items/customer balance will be 50%,

therefore, for SCENARIO 1

do i have to set the MaxOpenItem% = 0%, No Days Open I set to 0 and Days oldest Item set to 0 whereby as long as there's open items, then, credit check will block the sales order without having any tolerances for percentage of overdues/customer balance and no of days overdue?

Basically OPEN ITEMS are Billing Documents which has been forwarded to FI but payment has not yet been settled right?

Thank you

Regards,

Anthony