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Evo-ERP and DBA Classic >> System Manager >> sample list of invoice payment terms...N-30/$15KMa
http://www.istechforum.com/YaBB.pl?num=1350522937

Message started by Laura Oliver on 10/17/12 at 18:15:37

Title: sample list of invoice payment terms...N-30/$15KMa
Post by Laura Oliver on 10/17/12 at 18:15:37

Does anyone have a list of payment terms? I am specifically looking for how to convey to a customer that their terms are Net 30 but because their credit limit is only $15,000.00 they need to send us a check up front for the amount over $15K.

Would it be something like N-30/$15KMax? What is the common accepted phrase for this?

Our customer said we can't do that because we are " mixing terms".

Title: Re: sample list of invoice payment terms...N-30/$1
Post by David Waldmann on 03/14/13 at 17:42:52

I've never heard of anyone defining a credit limit as part of payment terms. Credit limit is a separate (though obviously related) aspect of their account. When you get a credit card and they issue you a $1000 limit it's up to you to ensure you don't go over it, and you will pay a penalty and/or have transactions declined if you go over.

What we do is, when the "over credit limit" warning comes up (I think that's an SD-Q setting) is evaluate what the situation is, and either notify the customer that they need to prepay if it's the only order, or catch up if they have outstanding orders, regardless of whether they're past due or not. Some of them have a hard time understanding why they need to pay when they're not past due but a simple credit card explanation usually does the trick. Of course, sometimes a review of the account justifies raising the credit limit.

Title: Re: sample list of invoice payment terms...N-30/$1
Post by Laura Oliver on 03/18/13 at 08:26:09

Net Days: QTRLY 120 ..... Igot a customer requesting this today and I have NO IDEA what it means.
I hope it doesnt mean what I think it means!

Thanks David, that was very helpful!
laura