Credit Management

[Former Member]

Dear All,

We have deactivated "Credit Active" from Item Category. Now we want to check Credit Block at Delivery level. Can it possible, if yes then System will consider Order Value for Credit Expodure or not.

Regards

Prashant

[SmileZhang · Accepted solution]

Hello Prashant,

The credit check and the update of the credit values are separate processes which are also controlled separately by the respective customizing:

1) credit check is controlled by transactions OVAK and OVA8. Relevant note 18613

2) update of the credit values is controlled by VOV7 or OVA7: "credit acttive" flag. The 'Credit active' setting only affects the credit update of the SD credit values (open orders, open delivery and open billing documents). This flag has no control on the credit check. So if for an order type, there is no credit check in OVAK and OVA8 but the "credit active" flag is set for the item category, the order will update the credit values even if no credit check is performed for the order.

If the flag "credit active" is not set, the system will not update the open credit values. On the other hand, the system ALWAYS updates the FI credit value 'Open receivable' when the billing document is transferred to Accounting. So, although you deactivated the "Credit active" flag in in OVA7 or VOV7, such an item will increase the 'Open receivables' and thus the credit limit used when the corresponding billing document is posted to Accounting.

For your case, you could consider not setting the OVAK for the order type and setting automatic credit check and check group for delivery document type, then the check is only performed during delivery creation.

If you don't want sales document value to be updated during sales order creation, you could set the update group as 000015 for the credit control area (t-code OB45).

It is not so good to leave "credit active" as blank since the update in delivery document also needs this field.

Hope it helps. Please read following wiki page if you would like to know more about credit management.

https://wiki.sdn.sap.com/wiki/pages/viewpage.action?pageId=113247029

Best regards,

Smile

Edited by: Smile Zhang on Jul 26, 2010 9:26 AM

[Former Member]

Dear,

ID: Item with active credit function / relevant for credit

Specifies whether the credit management functions (credit checks and update statistics) for order, delivery, or invoice items are active.

Select this field if the values of the item type in the total liability are to be updated.

In the documentary payments (letter of credit), only those item types that have this field selected are included.

Note

Example

You do not want a credit check to be executed for an adjustment (item type L2N) and have therefore not activated the credit check for transation type L2. You nevertheless want the values of the adjustment to be updated in the total liability. In this case, you need to select the field ActiveReceivable/Credit-Relevant. for thisitem type.

Regards,

Sandip