What is form of payment guarantee in SAP SD - Sales and Distribution?

SAP Term: form of payment guarantee

• Component: SD

• Component Name: Sales and Distribution

• Description: A type of assurance of a sales document item. Examples include payment card, export credit insurance, documentary payment guarantees, and so on.

Smart SAP Assistant

• Key Concepts: 
  Form of payment guarantee is a feature in SAP Sales and Distribution (SD) that allows customers to pay for goods or services at a later date. This feature is used to ensure that the customer will pay for the goods or services they have received. It also helps to protect the seller from any potential losses due to non-payment. 
  
  How to use it: 
  In order to use the form of payment guarantee feature, the customer must first provide a guarantee document, such as a letter of credit or bank guarantee, to the seller. The seller then enters the details of the guarantee document into SAP SD. Once this is done, the customer can then make payments at a later date. 
  
  Tips & Tricks: 
  It is important to ensure that all details of the guarantee document are entered correctly into SAP SD in order for the form of payment guarantee feature to work properly. Additionally, it is important to keep track of any changes in the customer’s payment terms in order to ensure that payments are made on time. 
  
  Related Information: 
  For more information about form of payment guarantee in SAP SD, please refer to SAP Help documentation or contact your local SAP support team.