cancel
Showing results for 
Search instead for 
Did you mean: 

payment cards

Former Member
0 Kudos

Hi Gurus,

What is the importance of forms of payment guarantee. I have seen standard form of guarantee is 2 and payment guarantee category is 3 (payment guarantee), Financial document category and financial document type is blank for payment guarantee form.

We define it in the risk management for receivables, my question is how it will be controlled while evaluating risk, is there any integration with FI module please clarify my doubt.

Thanks in advance,

Venkat.

Accepted Solutions (1)

Accepted Solutions (1)

Former Member
0 Kudos

The method used to help ensure payment from the customer for a foreign trade transaction. Common payment guarantee procedures include financial documents

Select a payment guarantee procedure in the Paym.guar.proc. field (Payment Guarantee Procedure) of the customer master record’s Billing screen. Maintain the list of available payment guarantee procedures in Customizing for Sales and Distribution. Choose Foreign Trade/Customs ® Documentary Payments ® Risk Management for Financial Documents ® Define and Assign Payment Guarantee Schemas.

Integration

The system uses the value in the Paym.guar.proc. field (Payment Guarantee Procedure) to help determine the default payment guarantee procedure in sales orders for the customer. For more about the default payment guarantee procedure, see Proposal of Payment Guarantee Procedures. Proposal of Payment Guarantee Procedures.

Answers (1)

Answers (1)

Former Member
0 Kudos

The form of payment guarantee controls how an item in a sales document is guaranteed (e.g. personal guarantee, payment cards, export credit insurance, confirmed and unconfirmed letters of credit). The payment guarantee procedure contains the permitted forms of payment guarantee for payer and document type. It also controls the sequence in which the the system assigns sales document items to payment guarantee procedures.

The payment guarantee procedure is determined according to the following factors:

Customer payment guarantee procedure

This determines which payment guarantee procedure the system automatically uses if you enter a sales document for the customer.

Document payment guarantee procedure

This determines which payment guarantee procedure the system automatically uses for a sales document type.

To determine the procedure, you assign the customer and document procedures to the payment guarantee procedure.

In Risk Management for Receivables, the system determines the payment guarantee procedure using procedure keys. It uses the document payment guarantee procedure key in the header for the sales document type, and the customer payment guarantee procedure key in the customer master.

You can use requirements to control when there should be no payment guarantee in risk management for the specified form of payment guarantee (e.g. item values under $10, a certain product hierarchy, or product group do not need any payment guarantees).