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Credit Management_Credit Limits BG/LC.

Former Member
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To explore if Credit limit configuration settings in SD module, can consider the postings out of Spl GL indictor attached to the Bank Guarantee / Letter of Credit. This means, to the extent of debit/credit statistical postings in Bank Guarantee / Letter of Credit, the credit limit to be considered/adjusted automatically for evaluation / order purposes in SD module.

Pl. let me know the views urgently.

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Answers (1)

Answers (1)

Former Member
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Hi...

Credit and Risk Management Run together...

i.e for eg:

If a customer has credit limit of 100,000$ and he purchases material worth 500,000$ and gives a BG / LC for 400,000$ then he is covered by both Risk and credit management and the order is saved. Since - the customer has guaranteed 400, 000 $ via LC and rest unguaranteed portion of 100,000$ is covered by credit management.

The calculation of price is as follows:

Total value = open confirmed quantities * credit price

(In the standard system the credit price is calculated by totaling the net value plus taxes.)

Guaranteed value = total value * guaranteed factor

Credit value = total value - guaranteed value

Regards

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