What is 'alternative payer' in SAP FI-CA - Contract Accounts Receivable and Payable?

alternative payer - Overview

• Component: FI-CA

• Component Name: Contract Accounts Receivable and Payable

• Description: Business partner that pays the items due from the contract partner in a debit memo procedure.

alternative payer - Details

• 
  Key Concepts: 
  Alternative payer is a term used in the FI-CA Contract Accounts Receivable and Payable component of SAP. It refers to a third party that is responsible for making payments on behalf of the customer. This could be a bank, a financial institution, or another company. The alternative payer is responsible for ensuring that the customer’s payments are made on time and in full. 
  
  How to use it: 
  In order to use the alternative payer feature, you must first set up an account with the third party. Once this is done, you can enter the details of the alternative payer into SAP. This will allow you to assign payments to the alternative payer, which will then be responsible for making the payments on behalf of the customer. 
  
  Tips & Tricks: 
  It is important to ensure that all details entered into SAP are accurate and up-to-date. This will help to ensure that payments are made on time and in full. Additionally, it is important to keep track of any changes in the details of the alternative payer, as this could affect the payment process. 
  
  Related Information: 
  The alternative payer feature can be used in conjunction with other features in SAP such as payment terms and payment methods. Additionally, it can be used in combination with other components such as FI-CA Contract Accounts Receivable and Payable.