The credit limit check checks if the business partner's credit limit is exceeded before the order is released and before the additional work is approved. If it is exceeded, the order cannot be released and the job approval for the additional work cannot be approved. For more information about additional work, see Order Processing for Additional Work and Deferred Work.
The check considers all open items that have not yet been invoiced or billed of the current, open order, as well as all the customer's prior commitments (taking the credit segment into account). Rejected items are not taken into account.
The check is run for all payment terms that have been activated for the credit limit check in Customizing.

Features

The following order types are taken into account during the credit limit check:

Automatic Check
SAP Credit Management runs the credit limit check at the following points in time, depending on the order type:

• Service order (order type Service Workshop)
  The credit limit check is run when the order is saved and when the order is released. A negative result (credit limit is exceeded) prevents the order from being released or a job for additional work from being approved.

• Parts order (order type Parts Cash Sales)
  The credit limit check is run when the order is saved, when the goods issue is posted, and when a delivery is created. A negative result prevents the goods issue or delivery, respectively.

• Vehicle order (order types Vehicle Order and Vehicle Order based on Model)
  The credit limit check is run when the order is saved and when the goods issue is posted. A negative result prevents the goods issue.

• Vehicle Order X
  The credit limit check is run when the order is saved and when a billing document is created. A negative result prevents billing.

Manual Check
You can run the credit limit check manually by executing the event Credit Limit Check (CREDIT_CHECK) in the event list.