What is end of payment for default in SAP FS-BA-PM-CR - Credit Risk?

SAP Term: end of payment for default

• Component: FS-BA-PM-CR

• Component Name: Credit Risk

• Description: Defines the contractually agreed maximum number of defaulted securities in a basket of credit derivatives for which the collateral provider is obliged to pay. For example: If this maximum number is five, then the collateral provider need only pay for the first five defaulted securities from the basket.

Smart SAP Assistant

• Key Concepts: 
  End of Payment for Default (EPD) is a feature in SAP Credit Risk Management (FS-BA-PM-CR) that allows customers to set a payment deadline for overdue invoices. If the customer does not pay by the specified date, the invoice will be marked as “default” and the customer will be charged a penalty. 
  
  How to use it: 
  To use EPD, customers must first set up a payment deadline for each invoice. This can be done in the Credit Risk Management module of SAP. Once the payment deadline has been set, customers can monitor their invoices to ensure that they are paid on time. If an invoice is not paid by the specified date, it will be marked as “default” and the customer will be charged a penalty. 
  
  Tips & Tricks: 
  It is important to keep track of payment deadlines and ensure that invoices are paid on time. This will help to avoid any penalties or other consequences associated with defaulting on an invoice. Additionally, customers should consider setting up automated reminders to ensure that they do not miss any payment deadlines. 
  
  Related Information: 
  For more information about End of Payment for Default (EPD) in SAP Credit Risk Management (FS-BA-PM-CR), please refer to the official SAP documentation or contact your local SAP representative.