Explain credit control area and why do we create them.
The Credit Control Area is an organizational unit that represents an area responsible for granting and monitoring credit. Credit information can be made available per customer within a credit control area. One will use one credit control area that is four characters “JHEN”. All of the available functionality for credit management will not be used since a service has already been provided.
Stopping the billing process is not an option Organizational unit in an organization that specifies and checks credit limits for customers. A credit control area can include one or more company codes. It is not possible to assign a company code to more than one credit control areas. Credit and risk management takes place in the credit control area.
4.6x
OB45 - Maintain Credit Control Area
A company code can be assigned to one credit control area. However, a credit control area can be assigned to more than one company code.
OB38 - Assign Company Code to Credit Control Area.
If your company have different business area, you can assign each with a Credit Control Area. e.g. 0001 for BA-A, 0002 for BA-B, 0003 for BA-C etc. In this case, the same customer master code can have different credit limits for the different Business Area.
OB01 - Define Credit Risk Categories.
OB02 - Define Account Clerk Groups
OB51 - Define Credit Representatives
OB39 - Define Intervals for Days in Arrears for Credit Management
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