to select the logo image file that you want to print on standard invoices and statements.Use Receivables Policies to define and maintain default data for the internal company used throughout Receivables. For each internal company, a separate set of company-specific receivables policies can be established to define the following:
Settings - which date and categories should be used for aging invoices and finance charges, adjustments and payments; when (which aging category) finance charge calculation should begin; default customer class; default statement billing method and format (email, standard, preprinted); default messages to be printed on invoices and statements for the various aging categories and when these messages should begin to appear on receivables documents.
Other Settings- The credit conditions that cause the business system to automatically put customers on credit hold; the company logo image file to be included on customer invoices and statements (if one is to be included).
Email - The default "from" address, subject, and message to use for all invoice or statement email messages sent to customers.
The policies defined in Receivables Policies apply to all customer classes and customers of an internal company. However, certain of these policies can be superseded by settings that are defined for customer classes and for individual customers (for example, the default customer credit hold policies can be superseded by credit hold settings that are defined for a specific customer in Customer). For these policies, there is a hierarchy to the supersession. The customer class setting takes precedence over the receivables policy, and the setting of the individual customer record takes precedence over the customer class setting.
Note: Although each internal company can have a unique set of receivables policies, the business system maintains only one set of receivables policies for each internal company.
Setting Up Receivables Policies
Open Financials | Setup | Receivables Policies. The Settings tab appears.
In the Aging area, specify the following settings:
In Age Invoices By, select the way that you want to determine the date used to age invoices in Print Customer Statements and in Assess Finance Charge process. This selection also determines what date will be used by the Aging process and AR Aging report, when Specific Aging Date is selected for Using, to age open documents. The options include the following:
Due Date – select to have invoices age by the date due
Invoice Date – select to have invoices age by the date of the invoice
In Aging Categories, classify open invoices into categories based on the number of days the invoice is outstanding. The aging is based on the Age Invoices By option. The Aging Categories are used in the Aging process. You may define up to four categories. For example, Aging Category 1 contains open balances that are 30 days past due and Aging Category 2 contains open balances that are 60 days past due. If you want the Customer Statement to have a 1-30 aging category, enter 0 (zero) in Aging Category 1. The aging categories will become 1-30, 30-60, 60-90, over 90. This is useful to show overdue amounts when Age Invoice By = Due Date.
Click to select the Include Adjustments in Aging check box if you want to have unapplied adjustments included in the invoice aging in the Aging process.
Click to select the Include Payments in Aging check box if you want to have payments included in the invoice aging process.
Note: Not currently used by AR Aging report – the default settings are defined in the report and can be overridden at run time in Report Options.
In the Finance Charges area, specify the following settings:
Default Commencement Period determines when finance charges are assessed based on the Aging Category of the oldest open invoice. For example, if you select Aging Category 2 (60 days), then the System begins to assess finance charges only when the oldest open invoice falls into this Aging Category, that is, the invoice is greater than 60 days old.
Click to select the Include Finance Charges in Aging check box if you want to include finance charges in the aging process.
In the Other Controls area, select the default customer class in Default Customer Class that you want to use in Customer. You can also create a new customer class by using the Quick Add feature. For more information, see Quick Add.
In the Statements area, specify the following settings:
Default Billing Method determines the format that is used for Print Customer Statements. The options include the following:
Open Item – Statement displays the balances of all open documents together with a statement date balance.
Balance Forward – This format provides the user with a beginning balance, total period billings, total period payments applied, and the statement date balance.
In Default Format, specify the format that you want to use when you print statements for the customer.
In the Messages area, specify the following settings:
In Default Message, select the default dunning message for Receivables. Dunning messages can be printed on statements and invoices. If you select None, the remaining dunning message related fields are disabled.
Use Comments and Messages to create the dunning messages.
In Print Message On, select on which reports the dunning messages will appear. The options include the following:
Invoices Only – Print Dunning Message only on Invoices. NOT CURRENTLY USED.
Statements Only – Print Dunning Message only on statements.
Statements and Invoices – Print Dunning Message on both statements and invoices. NOT CURRENTLY USED on Invoices.
In Aging Category 1 Message, specify the Dunning message that will be printed on the Customer Statement if the oldest invoice outstanding at the time of the statement falls into Aging Category 1.
In Aging Category 2 Message, specify Dunning message that will be printed on the Customer Statement if the oldest invoice outstanding at the time of the statement falls into Aging Category 2.
In Aging Category 3 Message, specify the Dunning message that will be printed on the Customer Statement if the oldest invoice outstanding at the time of the statement falls into Aging Category 3.
In Aging Category 4 Message, specify the Dunning message that will be printed on the Customer Statement if the oldest invoice outstanding at the time of the statement falls into Aging Category 4.
In Commencement Period, enter the oldest invoice outstanding at the time of the statement must fall into this aging category or a larger one to trigger a Dunning Message on the Customer Statement.
Click the Other Settings tab.
In the Credit Options area, specify the following settings:
Note: These values are used as defaults for new customers added in Customer.
In Open Invoices Greater Than N Days, select the aging category that you want to define. For example, Aging Category 1 may represent balances over 30 days past due and Aging Category 2 represents balances over 60 days past dues. This option lets you indicate the numbers of days that an open invoice may remain unpaid before the System automatically puts the customer on credit hold. By selecting an aging category here, the System compares the date of the invoice, the number of days assigned to the aging category, and the current date to determine whether a customer should be put on credit hold. The options include the following:
None
Aging Category 1
Aging Category 2
Aging Category 3
Aging Category 4
Open Invoices Greater Than X Dollars is available only if a value is specified for Open Invoices Greater Than N Days. Credit check process puts a document on credit hold if the open invoices over N days have a balance greater than the amount specified here. Notice that this changes the reason that the customer is put on hold if there are open invoices greater than N days old as they will always be put on hold for this reason if they do not exceed the amount specified here.
In Amount In Excess of Credit Limit, specify the amount that you let a customer balance be over the credit limit before you force the customer to be on credit hold. If greater than zero, the customer will be put on credit hold if the outstanding invoice balance is greater than the customer’s Limit, defined in Customer, plus this number.
In Percent In Excess of Credit Limit, enter the percent you let a customer balance to be over the credit limit before you force the customer to be on credit hold. If greater than zero, the customer will be put on credit hold if the outstanding invoice balance is this percent greater than the customer’s Limit, defined in Customer.
In Credit Hold Transaction Processing Option, select the option that determines what happens when a document is saved in Customer Invoice and Adjustment and the credit checking process finds a problem. The options include the following:
Accept New Orders and Place On Hold – User will be given a warning that the Customer has failed credit checking and the document will be saved with a status of “Hold.”
Do Not Accept New Orders – User will be given a warning that the Customer has failed credit checking and the document is not saved.
Issue a Warning Only – User will be given a warning that the Customer has failed credit checking. However, the document will be saved as usual.
In the Company Logo area, click Lookup to select the logo image file that you want to print on standard invoices and statements.
Note: The image must be less than 800 pixels wide and 600 pixels high.
Click Save to save the receivables policies.
Click the Email tab. Enter the email address from which invoices and statements should be sent from, in the From Address.
Enter the topic title of the emails in Subject.
In Message, enter text that supports what is being emailed to customers. This could be additional, clarifying information about the invoices and statements being sent.
A: Open Receivables Policies. The policy information about the current company displays by default. From the company list available in the main toolbar, select the name of the internal company whose receivables policies that you want to define. Now you can define or edit the receivables policies of this internal company.
A: The default customer class reduces your setup time when you create new customer s. Instead of manually typing all customer information in Customer for each customer, the customer class automatically supplies much of the data needed for the record and you only have to type what is unique to each customer. For each internal company, its default customer class should be the one used by most of the company's customers. However, be aware that you can assign each customer to a nondefault customer class during setup of the customer's record. In other words, you are not locked into Receivables Policies' default customer class setting.
A: Use of this box depends on the setting in Open Invoices Greater Than N Days. You can type a amount in Open Invoices Greater Than X Dollars only if the value at Open Invoices Greater Than N Days is other than None.