Applying Credit Control on Receivable Aging

Jawad

Active Member
Hi All,

We work with Credit Control that checks both the Credit Limit and the Aging of the Outstanding Balance.
I have come across situations where the Customer has only a Credit Note that is Outstanding, but yet, the system puts the Sales Orders of the Customer on hold (the credit limit is not exceeded).
Is this how the Credit check is designed to work ?? or can I do some setup to exclude the Credit documents from the Credit Control ??

Any help is much appreciated.

Best Regards,
Jawad.
 
Hello Jawad, If I understood your post, you have one hold code that checks both Credit Limit and Aging. Is that correct? If so, can you tell me how you set up the single hold code to check both Credit and aging? I recall being able to do that in World, but have not been able to set that up in E1. Regards, Jim
 
Since it's hard to figure out why an order went on hold, I suggest you use two different hold codes - one for populating the Customer Master Hold Code field and manually putting orders on hold (e.g. C1) and one for the P4210 processing options for credit limit/aging limit checking (e.g. C2). This way, it will be easier to tell why an order went on hold.

E1 should not have put the order on hold if the customer only has one credit note open in their AR. Some things you might want to look at:
1. At the time the order went on credit hold, was there a hold code in the Customer Master Hold Code field? (The code may have been removed after the order went on hold.)
2. At the time the order went on credit hold, did the total of their sales orders exceed their credit limit? (Some orders may have been changed or cancelled after the order went on hold.)
3. At the time the order went on credit hold, did the customer have any other open invoices in AR? (Receipts may have been created after the order went on hold.)
4. Does the Open Order Amount on P42050 Credit Check match the total of their open orders? (If not, you'll need to run R42995 Repost Active Sales Orders.)
5. Are you able to duplicate the issue on command? If so, I suggest you open an SR with Oracle with your configuration and the steps they can do to replicate the issue

Hope this helps!
Jim D.
 
Hi,

Document types can be excluded from credit control using P4210 processing options (blank out hold codes for credit). Customers can also be exluded using "Exempt from credit hold" from customer master.
Also, for aging, keep in mind that the system will never anticipate that customer will pay on time, so if you have an open invoice and an order where the date is greater than the due date, system will not anticipate customer payment and hold the order (based on credit aging set up).
Both functionnalities are document in Oracle support document ID 625508.1 (https://support.oracle.com/epmos/faces/DocumentDisplay?id=625508.1)

Hope this helps,

Tom
 
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