What is standing instructions in SAP FS-CML - Loans Management?

SAP Term: standing instructions

• Component: FS-CML

• Component Name: Loans Management

• Description: A collection of data relating to the business partner that is used on a recurring basis. Standing instructions are transferred automatically to the financial transactions. They can include: Payment methods Correspondence

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• Key Concepts: 
  Standing instructions are a feature of the FS-CML Loans Management component of SAP that allow users to set up automated payments for loan repayments. This feature allows users to set up a payment schedule and have payments automatically deducted from their bank account on the specified dates. 
  
  How to use it: 
  To use standing instructions, users must first set up a payment schedule in the FS-CML Loans Management component. This includes specifying the amount to be paid, the frequency of payments, and the date of each payment. Once this is done, users can then set up standing instructions with their bank to have payments automatically deducted from their account on the specified dates. 
  
  Tips & Tricks: 
  It is important to ensure that there are sufficient funds in the bank account when setting up standing instructions. If there are insufficient funds, the payment may not be processed and late fees may be incurred. It is also important to keep track of payments and ensure that they are being processed correctly. 
  
  Related Information: 
  For more information about setting up standing instructions in FS-CML Loans Management, please refer to the SAP Help documentation.