3 Replies Latest reply: May 8, 2007 6:01 PM by ruchi thakur RSS

what do you mean by credit sales

murali reddy
Currently Being Moderated

what is credit sales , can any one please explain giving a detailed information and path

  • Re: what do you mean by credit sales
    RAMA KRISHNA
    Currently Being Moderated

    credit sales means selling products/services on credit basis...

     

    if iam wrong pls correct it

     

    Ramki

  • Re: what do you mean by credit sales
    kaustubha Pandey
    Currently Being Moderated

    i also feel that credit sale come into picture when suppose ur customer have a credit limit of 1lac and till now u have despatch a order of 50k and u have not received the payament from ur customer , but the credit limit balance is still 50k so u can sell for upto 50k before credit limit block come into picture.

  • Re: what do you mean by credit sales
    ruchi thakur
    Currently Being Moderated

    Hi,

     

    Credit and risk management, takes place in the credit control area. According to your corporate requirements, you can implement credit management that is centralized, decentralized, or somewhere in between. 

     

    An organizational unit that represents the area where customer credit is awarded and monitored.   This organizational unit can either be a single or several company codes, if credit control is performed across several company codes. One credit control area contains credit control information for each customer.

     

    For example, if your credit management is centralized, you can define one credit control area for all of your company codes. 

    If, on the other hand, your credit policy requires decentralized credit management, you can define credit control areas for each company code or each group of company codes. 

     

    Credit limits and credit exposure are managed at both credit control area and customer level.  You set up credit control areas and other data related to credit management in Customizing for Financial Accounting. The implementation guide is under Enterprise Structure -> Definition or Assignment -> Financial Accounting and then Maintain credit control area. You assign customers to specific credit control areas and specify the appropriate credit limits in the customer master record.

     

    Settings for determining the credit control area of a document.  The settings of items 1 - 4 are taken into account according to their priority.  The credit control area found is stored in field VBAK-KKBER.

     

     

    1. Transaction OB38

       Check which credit control area is assigned to the company code.

       Company code:

       Credit control area:

    2. Transaction OVFL

       Check which credit control area is assigned to the sales area.

       Sales area:

       Credit control area:

    3. Transaction XD02 or VD02

       Check which credit control area is assigned to the payer.

       Payer:

       Credit control area:

    4. Transaction SE37

       Is user exit EXIT_SAPV45K_001 being used?

    5. Transaction OBZK

       For the settings under items 2 - 4, field "All company codes" must be marked in Transaction

       OB45, or the credit control area must be entered under the relevant company code in table

       T001CM of the credit control areas allowed.

       Company code:

       Credit control areas allowed:

    6. Settings for the credit checks

    7. Transaction OVAK

       Which settings do exist for the sales document type used?

       Sales document:

       Check credit:

       Credit group:

    8. Transaction OVAD

       Which settings do exist for the delivery type used?

       Delivery type:

       Credit group for delivery:

       Credit group for goods issue:

    9. Transaction OB01

       Credit management/Change risk category

       Definition of the risk category for each credit control area. This risk category can be

       assigned to a credit account by using Transaction FD32.

    10. Transaction OVA8

        Here, the individual credit checks for key fields

        o credit control area

        o risk category

        o credit group are set. Take these key fields from the above settings and go to the detail

          screen. In particular, check whether fields "Reaction" and "Status/block" are set

          correctly. To carry out follow-up actions in case of a credit block, the credit check

          status must be set (field "Status/block").

    11. Transaction FD32

        Credit master data for the payer of the relevant document.

        Credit account:

        Credit limit:

        Risk category:

        Currency:

     

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