The payment method is the procedure such as check, transfer, or bill of exchange, by which payments are made.

The following payment methods are usual in Accounts Payable and Accounts Receivable:

You define the payment methods in two steps:

1. First, you make all the specifications that are required for each payment method in each country. This is necessary for all the payment methods used by your organization in each country. If you have companies (company codes) in Germany, France, and the USA for example, you define the payment method "check" for each country.
2. You then define the payment methods you use for each company code. When in this configuration function, you also specify the conditions of their use.