What is 'financing variant' in SAP FIN-FSCM-CR - Credit Management?

financing variant - Overview

• Component: FIN-FSCM-CR

• Component Name: Credit Management

• Description: In Loan Application Management this describes the grouping of loan modules, which cover the financing requirements, determined from the investment data for a borrower. Financial variants differ for borrowers, with regard to: The amount of the borrower's own contribution The runtime for one or more loan modules The exposure for the borrower.

financing variant - Details

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  Key Concepts: 
  A financing variant is a feature of SAP Credit Management that allows users to define the terms and conditions of a customer’s credit line. It includes information such as the credit limit, payment terms, and interest rate. The financing variant is used to determine the creditworthiness of a customer and to set up the payment terms for a customer’s account.
  
  How to use it: 
  To use the financing variant feature, users must first create a financing variant in the SAP system. This can be done by entering the customer’s credit limit, payment terms, and interest rate into the system. Once this is done, the system will automatically calculate the customer’s creditworthiness and set up the payment terms for their account.
  
  Tips & Tricks: 
  When creating a financing variant, it is important to ensure that all of the information entered is accurate and up-to-date. This will ensure that the system calculates the customer’s creditworthiness correctly and sets up their payment terms accurately.
  
  Related Information: 
  For more information on SAP Credit Management and how to use its features, please refer to SAP Help documentation or contact your local SAP support team.