Credit Monitoring

Use

When you enter agency documents, you can use the Credit Monitoring functions from the Financial Accounting component.

As a result, when you enter the document, you can check whether a customer has exceeded a credit limit set by you.

Prerequisites

• You must configure the credit limit check in the Financial Accounting component.

For information on the Customizing areas in which settings must be made, see FI/SD - Credit Management/Risk Management.

• In Customizing for Agency Business, you must select the Check customer credit limit indicator under Payment Types.

Features

Credit management enables you to assign a credit limit for each customer. When you enter single settlement requests and settlement request lists the system checks whether the credit limit is exceeded as a result of the invoice amount. The system proceeds as follows:

• The system checks whether, as a result of the document entered in Agency Business, the balance of open items for the customer exceeds the credit limit you defined.
• If the customer has exceeded its credit limit, the system issues a warning.

In Customizing for Agency Business, you can have the system issue a different type of message if you make the relevant settings under Message Control by User.

For further information on the procedure involved in credit monitoring, see Monitoring Credit During Sales and Distribution Processing.

A user exit is available for further checks on the credit limit.