What is payment application hierarchy in SAP FS-CML - Loans Management?

SAP Term: payment application hierarchy

• Component: FS-CML

• Component Name: Loans Management

• Description: The sequence in which incoming payments are applied to open items.

Smart SAP Assistant

• Key Concepts: 
  Payment application hierarchy is a feature of the FS-CML Loans Management component of SAP. It allows users to define a hierarchy of payment applications that can be used to process payments. This hierarchy can be used to prioritize payments, ensuring that the most important payments are processed first.
  
  How to use it: 
  To use the payment application hierarchy, users must first define the payment applications that will be used. This can be done by creating a payment application hierarchy in the FS-CML Loans Management component. Once the payment applications have been defined, users can then assign them to specific payments. This will ensure that the most important payments are processed first.
  
  Tips & Tricks: 
  When creating a payment application hierarchy, it is important to consider the order in which payments should be processed. For example, if certain payments need to be processed before others, they should be placed higher in the hierarchy. Additionally, it is important to ensure that all payment applications are properly configured and that all necessary information is provided.
  
  Related Information: 
  For more information on payment application hierarchies and how to use them in SAP FS-CML Loans Management, please refer to the official SAP documentation. Additionally, there are many online resources available that provide detailed instructions on how to configure and use payment application hierarchies in SAP FS-CML Loans Management.