To Use Installments

Follow the steps below to use installments in the Accounts Payable system.  Each step is explained in more detail in this key concept.

1.   Set-up your credit terms through the Credit Terms Maintenance conversation.  You must define all credit terms through this conversation, including terms without installments.

2.   Set-up the appropriate credit terms code on Reference File category 206, Vendor Defaults.  This code is used as a default credit terms code when a vendor is defined in the Vendor Master Maintenance conversation.  The default can be overridden.

3.   Set-up the credit term defaults for your vendors through the Vendor Master Maintenance conversation.  Remember that the credit terms code defaults from Reference File category 206, but can be overridden.  The credit terms for the vendor are used as default values during invoice entry.

4.   Create an invoice through the Invoice and DR/CR Memo Entry conversation using a credit terms code with installments.

5.   You can view the installments generated for an invoice by pressing F23 from the detail screen in the invoice entry conversation.  Each installment is identified by the invoice number and a three-digit suffix corresponding to the position of the installment in the payment plan.

6.   Each installment is treated as a unique open item within the Accounts Payable system.  The payment process will select and pay an installment like any other open item in the system.