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Former Member

Letter of credit

Dear all

I have created LC (Tcode VX11N) with value 2000 EUR and assigned it to the sales order header in Billing tab. The sales order value is 100 EUR, but during creating Delivery I m getting the error "Order blocked for delivery as a result of credit check".

Why the system is blocking delivery due to credit check. Can we make the system to work in such a way that it should not block Delivery due to credit check

Note: Credit management is not active, not even standard Credit control area 0001 is assigned to the company code.

Regards

Vipin

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3 Answers

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    Former Member
    Jun 26, 2010 at 05:52 PM
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  • Jun 27, 2010 at 03:04 AM

    Though the link provided would give you an idea, logically, for export sales, if the despatch is made against an LC, system should not consider that customer for credit worthiness. This is due to the fact that in order to avoid these sort of payment issue only, exporters will insist to open an LC by the respective importer. Of course, this LC itself will be of different types like Revocable LC, Irrevocable LC etc., and in your case, if it is an irrevocable LC, straightaway, despatch can be made since the importers bankers have given guarantee for issuing payment.

    thanks

    G. Lakshmipathi

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    • Former Member

      Dear Lakshmipathi

      Thank you for the answer the LC created is of irrevocable type, importers bankers have given guarantee for issuing payment, now what i want is that the system should not block the sales order when the payment guarantee is sure.

      Regards

      Vipin

  • Jun 28, 2010 at 06:02 AM

    First check in that customer master Sales Area Data in Billing tab whether you have maintained any Credit Control Area. If so, you can remove and try this process.

    On the other hand, if the credit management is activated for the company code, then you need to apply a billing exit where you have to define a logic such that if the terms are against L/C, system should not consider the credit limit.

    thanks

    G. Lakshmipathi

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    • Former Member Former Member

      Dear Lakshmipathi,

      Done Sir, I was doing a mistake of processing the same financial document and sales order. What i did was to create new FD and new Sales order, now the system is updating all the values in VXA1. But i do have few issue as below

      1) When I create FD in VX11n the standard Payment terms and Inco terms assigned to the customer master is not fetched, how can it be done.

      2) Different LC can be assigned to sales order with different Partner the system give only Information message that "Financial documents: Check: Partners Check Not OK" is this the standard

      Regards

      Vipin

      Edited by: Vipin Borole on Jun 28, 2010 12:28 PM