What is credit with extended availability in SAP FS-AM-IM - Item Management?

SAP Term: credit with extended availability

• Component: FS-AM-IM

• Component Name: Item Management

• Description: An amount that account holders of credit with extended availability accounts have at their disposal during a given period, irrespective of the available amount. Banks can classify the following types of amounts as credit with extended availability: Incoming payment Part of an incoming payment An amount not related to a specific incoming payment &EXAMPLE& Legal regulations Germany stipulate that child benefit cannot be seized during a certain period. This means that the bank must make the child benefit available to the account holder during this period. To this end, the bank classifies the incoming payments relating to child benefit as credits with extended availability.

Smart SAP Assistant

• Key Concepts: 
  Credit with extended availability is a feature of SAP FS-AM-IM Item Management that allows customers to purchase goods on credit and pay for them at a later date. This feature allows customers to purchase goods without having to pay for them upfront, giving them more flexibility in their purchasing decisions. 
  
  How to use it: 
  To use this feature, customers must first set up a credit account with the vendor. Once the account is set up, customers can select the “credit with extended availability” option when making a purchase. This will allow them to purchase the goods on credit and pay for them at a later date. 
  
  Tips & Tricks: 
  It is important to note that customers must be sure to pay for their purchases on time in order to avoid any late fees or penalties. Additionally, customers should be aware of any interest rates associated with their credit accounts in order to avoid any unexpected costs. 
  
  Related Information: 
  For more information about this feature, please refer to the SAP FS-AM-IM Item Management documentation. Additionally, customers can contact their vendor directly for more information about setting up a credit account and using the “credit with extended availability” option.