Customer Bad Debt

Hi AmeriGel,

If you simply wish to create a financial provision for the Bad Debt, then it is possible to use the Bad Debt Management functionality.

However, if I understand correctly, you are looking to actually write the debt off so that it no longer appears on the customer’s account. To do this, it is necessary to “pay” the Customer Invoice using a Write-Off Code.

The steps to set this up would be as follows:

1. Create a Write-Off Code (using the screen called Write-Off Codes)
2. Select Write-Off Limit per User, and add a user and a limit
3. In the Posting Control screen, ensure that you have set up a Posting Control PP17 - this will control where IFS posts the write-off to.
4. Enter a payment (my recommendation would be via a Mixed Payment). When selecting which invoices to pay, it is possible to use your Write-Off Code to “pay” the invoice.
5. Approve the Mixed Payment

Thanks,
Chris