Dunning
When goods or services are sold to the customers, payment is expected to be received. From this moment, incoming payments are monitored to make sure customer debts are paid on time. When there is delay in payment company needs to remind outstanding liabilities of the customers.
Dunning enables generation of letter to the all the A/R outstanding invoices. If customer does not make the payment as per terms of payment system will issue dunning letters. For sending the letter we can collect dunning charges from the customer. Charges are shown in the letter.
Example:
Maximum dun levels - 9 levels
We are using - 4 levels
Dunning frequency - 10 days
Grace period - 3 days
Payment terms - Payable immediately (0001)
Sales on 16.11.2018
Configuration Settings
1) Define Dunning Areas
2) Define Dunning Procedure
3) Assign Dunning Procedure in Customer Master
End User Area
1) Sales Invoice Posting
2) Dunning Run
When goods or services are sold to the customers, payment is expected to be received. From this moment, incoming payments are monitored to make sure customer debts are paid on time. When there is delay in payment company needs to remind outstanding liabilities of the customers.
Dunning enables generation of letter to the all the A/R outstanding invoices. If customer does not make the payment as per terms of payment system will issue dunning letters. For sending the letter we can collect dunning charges from the customer. Charges are shown in the letter.
Example:
Maximum dun levels - 9 levels
We are using - 4 levels
Dunning frequency - 10 days
Grace period - 3 days
Payment terms - Payable immediately (0001)
Sales on 16.11.2018
| 1st Letter | 2nd Letter | 3rd Letter | 4th Letter |
| 20.11.2018 | 30.11.2018 | 10.12.2018 | 20.12.2018 |
Configuration Settings
1) Define Dunning Areas
2) Define Dunning Procedure
3) Assign Dunning Procedure in Customer Master
End User Area
1) Sales Invoice Posting
2) Dunning Run