This topic gives an overview of the preparations that are necessary for posting bank bills and bill of exchange payment requests using the payment program. You can find a more detailed description in FI Automatic Procedures.

Separate payment methods are defined for posting bill of exchange payment requests and bank bills using the payment program. These payment methods must be entered in the customer master record. The customer master record must also contain bank details. The latter are transferred by the payment program for the bill of exchange.

The payment program needs some specifications to post the bill of exchange. These include:

• The special G/L indicator. In the standard system, you use the special G/L indicator R for bill of exchange payment requests, and W for bank bills.

• The document type for posting the bill of exchange

• The posting key for the bill of exchange postings

By entering further information, you can determine under which preconditions a bill of exchange is to be created, for example:

• You can specify company code-specific amount limits, up to which a bill of exchange should be posted for the payment method. If the amount is exceeded, the payment program cannot create a bill of exchange.

• In the customer master record, you specify up to what amount a bill of exchange may be drawn. If this amount is exceeded, more than one bill of exchange is drawn.

• You can decide whether several invoices can be included for payment by bill of exchange.

• You can enter the number of days remaining before an open item is due for payment, and the number of days following which a bill of exchange should be drawn as a bill on demand.

You enter the issue date for the bill of exchange before the payment run at which time you can also enter the due date. Alternatively, you can have the program determine the payment run.