Shared Credit Limit

  • Updated

Enhanced credit limit behaviour

This update to credit behaviour provides you with new options in dealing with the credit limit of accounts, allowing both enhanced safeguards and additional flexibility.

If we imagine the relationship between a Contact and its subsidiaries at present, when defining a credit limit we apply a unique value to a Contact.

This is treated as a value only applied to the Contact in question ie the Parent.  In this scenario the Parent is responsible for the entire credit limit:

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The new behaviour now allows for more complex configuration. You can also now: 1. Apply a credit limit to all descendants: 2.png

  • If behaviour type 1 is chosen, then the credit limit is applied to the Contact and to all of their descendants i.e Parent, Children and Grandchildren.

2. Apply credit limit to immediate descendants only:

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  • If behaviour type 2 is chosen, then the credit limit is only applied to the Contact and their children, not to their grandchildren.

You can also choose a credit limit where:

  • a) It is applied to each descendant with unique, equal value.  Regardless of how many levels of child contact are added, the credit limit is applied equally to every resultant level.
  • b) It is shared across all descendants, sharing total value. ie a shared balance across the 'family' but not necessarily an equal limit to each descendant.

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Setting up a Credit Limit

You can set up a credit limit via the following steps:

  • (1) CRM -> (2) Contacts -> (3) Name of contact in Search box:

1. Shared Credit Limit.png

  • Click on the contact to select it, then click on Edit

2. Shared Credit Limit.png

  • Next choose to view the Financial tab:

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  • You can now click on (1) Terms and then complete the body of the form (2) as appropriate, remembering to click Save before closing:

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  • Where you have descendants, the enhanced behaviour options are demonstrated below: