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Credit Management SAP SD (ECC)

Hi Experts,

I am in the learning phase of SAP SD and while going through concepts of Credit Management in ECC, i have certain questions.

1. As we create a single Credit Control Area for a company code and mention Risk Category and Credit Limit, but how can we define multiple credit limits in case 10 of my customers have different credit limits and Risk Categories?

2. Can anyone please explain me the lines mentioned below

A). Centralize credit process (3 company codes and 1 credit control area for all three company code).

B). Decentralize credit process (3 company codes and each company code has individual credit control area).

Thank you.

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2 Answers

  • Best Answer
    Posted on Oct 30, 2019 at 12:44 PM

    1. You will define the specific credit limits in the credit master records (FD32) and there you will also specify the correct risk category. The setting in the credit control area acts as a default value (for example you can set there the limits and risk category for new customers), but you can always overwrite it.


    A. 3 company codes with a single credit control area is possible (for example you have 3 legal entities which have a single credit management team and they use the same rules for managing credit risk). You just assign the same credit control area in SPRO for each company code, you assign the sales areas to the credit control area as well. There is nothing really special about the setup compared to what you probably read in your training documentation.

    B. 3 company codes with 3 credit control areas - each company code with its own credit control area - this is the most common use case, just think of it as doing the same setup 3 times (most probably you will have some specifics in OVA8).

    C. (you did not mention this case but I add it for the sake of completion) It is also possible to have 1 company code with 3 credit control areas where you have different credit control areas on sales area level. In this case it is best not to assign credit control area to the company code, you should also tick the checkbox for overwriting the credit control area. The tricky part here is the incoming payments because you need to populate somehow the credit control area in these FI documents. The problem is that FI does not know and usually does not care about SD sales areas so you need to add some custom logic to populate the correct credit control area in the incoming payments.

    To be fair it may be more beneficial for you to read about FSCM credit management - SD credit management is going to become less relevant as companies are going to transition to S/4HANA. Of course if you are going to participate in conversion projects it is a good idea to understand well both solutions.

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  • Posted on Oct 31, 2019 at 11:48 AM

    Thank you Veselina Peykova, Very well explained. This is what i was looking for.

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