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  Creating Promises to Pay

Procedure

You create a promise to pay with reference to open items of the business partner. Creating a new promise to pay involves the following steps:

  1. Enter the business partner and the company code, and choose the pushbutton Create Promise .

  2. Enter a currency, a reason for the creation, a category, and, under the Selection Details , a responsible company code.

  3. Choose the pushbutton Assign Open Items to add open items to the promise to pay.

  4. Activate the required items and return to the processing screen of the promise to pay.

    You can add an open item to the promise to pay as a complete amount or only a partial amount. You cannot add open items that are already assigned to another promise to pay, a collective bill, or an installment plan to a new promise to pay. The selection options generally correspond to the options given for clearing processing in dialog .

    The selected open items can be posted to different contract accounts of the business partner and can have different currencies. You define the payment currency in the promise to pay itself.

  5. Once the open items have been selected, the system automatically determines the total amount of the promise to pay, including charges and interest. Using the category specified, the system also automatically proposes the dates and amounts. You can change this proposal in dialog processing. You can define the starting date ( First Payment On ), the interval between the due dates ( Payments ), and either the required number of installments ( Number of Dates ) or the maximum amount of an installment ( Maximum per Installment ). Using the pushbuttons Individual Installments or Regular Installments , you can define equal installment amounts or individual installment amounts.

    Using these details, the system determines the new total amount (for example, the interest might change) and creates corresponding partial amounts.

    Details for direct debit or debit memo are only required if the amounts are to be debited automatically when due. Specify a contract account of the business partner that the system can use for payment processing. If no payment method is defined for incoming payments in the contract account specified, you have to specify a payment method in the promise to pay itself.

    Further optional specifications are credit card data (if collection is to be made using a credit card not defined in the contract account) and, if necessary:

    • Alternative payer

    • Alternative bank details

    • Alternative card ID

      For each due date, you can define different details for the direct debit or debit memo.

  6. Save the promise to pay.

    When you save, the system automatically assigns a number for the promise to pay. The data of the promise to pay is saved, and a link to the promise to pay is saved in the previously selected open items.