Generally, any Customer who has transactions outstanding for payment and has exceeded the agreed payment terms, should be flagged for chasing by a Credit Controller. Occasionally, there may be a reason not to chase for payment of an outstanding transaction. perhaps because of a known problem with the transaction.

In this case you can set the status of the transaction to Do Not Chase so that it is not included in debt collection letters

Setting the Do not Chase status also sets the Query flag for the transaction.

If the Query flag is set against a transaction, it will appear with a ? in any transaction lists

The Query flag can be removed (so that the transaction is only flagged as 'Do not chase') from the Chase Debtors window, the Aged Debtors transaction enquiry from the Customer record or via Bulk Receipts (dispute flag).

Anticipated Days are part of both Customer and Supplier Terms. They are the number of days that you anticipate will pass after posting an invoice before payment is received or made.

The Anticipated Days can be updated from the Credit Control module by using the past transactions as a guide.

For each invoice transaction, the system saves the date that it was fully allocated.

Then the number of days from the invoice date, or the due date (according to the method selected in the Terms window of the Customer or Supplier record), to the allocation date can be calculated.

Both Customers and Suppliers can have their accounts put 'On Stop'. Accounts on stop will be identified in account lists by the 'On Stop' icon. Invoices and Orders entered for accounts that are on stop will be batched automatically.

The On Stop status can be set for all accounts that are either over their credit limit or overdue using the Stop Status option in the Credit Control module.

The 'Compare Balance to Credit Limit' option on the On Stop Process Options window will set the 'On Stop' status for all accounts whose balance exceeds their credit limit and will the clear the 'On Stop' status for all accounts whose balance is not over their credit limit.

The 'Check for Invoices Overdue' option on the On Stop Process Options window will set the 'On Stop' status for all accounts which have one or more invoice transactions where the Due Date is older than the System Date by the number of days, weeks or months entered by the user.

The Credit Control module has three system-defined Debt Statuses (Current, Due, Overdue). The Update Debt Status Process Options window has a function (Update Debt Status) which automatically amends these statuses, calculated using invoice dates, customer terms due days and the Overdue Days settings in Credit Control options.

However, if the Debt Status has already been set to a User Defined status, i.e. not Current, Due or Overdue, the Debt Status will not be changed.

For each invoice transaction, the system will compare the number of days between the current system date and the invoice date, against the customer’s terms due days, and the Overdue Days setting in System Control.

When an invoice is processed, the Debt Status should be Current, until the Customer terms due date is reached. If the number of days since the invoice date is more than the due days specified in the Customer’s terms, then the Debt Status should be changed to Due. If the number of days since the due date is greater than the Overdue Days setting in System Control, then the Debt Status should be changed to Overdue.

The Debt Statuses are defined:

If the Overdue Days field in System Control is set to 0 (the default value shipped with the product), then the Debt Status should be changed to Overdue on the same day that it is changed to Due (from the Customer’s terms) – so the invoice cannot actually have a status of Due.

The Credit Controller is added to transactions when they are entered and can be changed by altering the Debt Status of the transaction.

When you enter Sales Ledger transactions and SOP orders for a Customer, system applies a Credit Controller based on the following facts:

When you change the Debt Status using the Change Debt Status feature in the Credit Control module, system may change the Credit Controller depending on the scenarios:

You can always change the Credit Controller for a particular Debt Status in Debt Status options window.