The four settings
On the customer (Credit settings):
| Setting | Meaning |
|---|---|
| Amount limit | The most the customer may owe you |
| Amount limit actions | What the screens do when a sale would take the customer over it |
| Day limit | The credit days the customer is allowed |
| Day limit actions | What the screens do when the days are exceeded |
Each action is Ignore, Block or Warning. Configuration also has a company-wide Amount limit action and Day limit action.
What the screens do
When you save a credit sale, the screen works out:
- Amount: the customer's balance in your branch plus the whole invoice. If that is more than the Amount limit, the amount rule applies.
- Days: the due days on the invoice compared with the Day limit, and the age of the customer's oldest unpaid bill compared with the Day limit. If either is too long, the day rule applies.
| Customer's action | Result |
|---|---|
| Warning | A Warning box names the customer and the rule ("Transaction has crossed the approved credit limit." or "Your credit days crossed the credit day limit."). You press OK and the invoice still saves |
| Block | The same box, but the amount message reads "Transaction has crossed the credit limit amount. Sales process could not be completed at this stage." and the invoice is not saved |
| Ignore, or empty | Nothing is checked |
If your company has credit approval switched on, the same moment may show a Credit blocked or Credit warning box instead, with a Request credit release button. Ask your credit controller or accountant, then save again.
What to do when a sale is blocked
- Read the box: it names the rule that stopped the sale.
- Choose one: take payment (a customer who pays the full invoice at the counter is a cash sale: see Cash sales and credit sales), reduce the amount, shorten the due days, or ask the accountant to receive the customer's overdue payments first (Receive money from a customer).
- If the customer's limit is simply out of date, the accountant edits it on the customer (Create a customer).
Which documents are checked
| Document | Amount rule | Day rule | Notes |
|---|---|---|---|
| Sales invoice (standard, abbreviated, fixed-asset sale, recurring invoice) | Yes | Yes | The check runs when you press Save |
| Goods delivery note | Yes | Yes | Same rules |
| Sales order | Yes | Yes | Only warns, unless the Entry control switch below is off: then it blocks |
| Sales quotation | Not applied | Due days only | A quotation does not hold the customer to the amount limit |
| Sales order cancellation | Not applied | Due days only | As the quotation |
| Grid invoice | No | No | This screen has no credit check of its own |
| Invoice from the inline entry screen | Yes | Yes | A limit of 0 means no limit on this screen |