Deferred/Installment Billing Setup

Purpose: Before you can used deferred or installment billing pay plans in your company, you must perform the necessary setup. Information requiring creation and setup includes:

• system control values

• secured features

• authorization service settings, including response codes and currency codes

• order hold reason codes

• source codes that point to specific pay plans

• items that would be exempt from pay plans

Set up pay plans: Additionally, you must set up the pay plans themselves using the Work with Flexible Payment Option Screen.

EXC flexible payment option: The system delivers the EXC Net Billing for Exchanges flexible payment option in the Working with Flexible Payment Options (WFPO) menu option to use during Credit Card Net Exchange Billing (the Use CC Net Exchange Billing (M23) system control value is selected). You cannot change or delete this flexible payment option and you cannot use this flexible payment option for deferred/installment billing. See Credit Card Net Exchange Billing for processing details.

In this chapter:

• System Control Values

• Secured Features

• Authorization Service Settings

• Order Hold Reason Codes

• Additional and Recommended Setup

System Control Values

System Control Value	Description
Deferred and Installment Billing (F51)	Select this field to be able to apply pay plans to orders. If this field is unselected, you will not be able to apply pay plans in order entry or order maintenance.
Number of Times Flexible Payment Option is Used (F52)	Enter the number of times the same credit card number can be applied against a pay plan order before being evaluated for PV hold. This system control value works together with the Number of Days Flexible Payment Option is Used (F53) field, below.
Number of Days Flexible Payment Option is Used (F53)	Enter the number of days the system should use for evaluating a credit card against the Number of Times Flexible Payment Option is Used (F52) field, above. If the same credit card number appears on orders more than the specified number of times within this number of days, the order goes on PV hold. Example: You set the Number of Times Flexible Payment Option is Used (F52) field to 5, and the Number of Days Flexible Payment Option is Used (F53) field to 14. If the same credit card number appears on pay plan orders more than 5 times in 14 days, the sixth and subsequent orders for the credit card go on PV hold.
Dollar Threshold for Sold To Customer Orders with Flexible Payments (F54)	Enter the total dollar amount a customer can have in pay plan orders before the system puts new orders on $P hold. Example: You set this field to 500.00. If a customer has 3 pay plan orders for a total of $450.00, and you take a new pay plan order for $75.00, the new order goes on $P hold.

Note: You must also create the Order Hold Reason Codes.

Each of these fields is available at the Edit Deferred/Installment Billing screen.

Secured Features

Secured Feature	Description
Override Deferred and Installment Billing Options (A81)	Controls the ability to select a pay plan other than the primary, system-selected plan in order entry
Change Invoice Payment Information (A82)	Controls the ability to change information on an invoice once the order has been billed but before the invoice amount is fully deposited. The Change Invoice Pay Method Screen allows you to change the deposit release date, credit card information, the number of remaining installments; apply a cash payment; or writeoff, resubmit, or delete the deposit. This screen is available in order inquiry and Submit Rejected Deposits.

Authorization Service Settings

When you are setting up an authorization service that supports deferred/installment billing, please note the following additional required settings:

• Industry code: enter your DBA number

• Deferred merchant ID

• Installment merchant ID

• Exclude from FPO: unselected

• Pay type cross reference Paytypes at the Work with Authorization Services Screen): Create a cross-reference for each pay type code you will allow on pay plan orders, using the vendor pay code information supplied by the authorization service.

• Currency cross reference (Currency at the Work with Authorization Services Screen): Create a cross-reference for each currency code you will use on pay plan orders, using the vendor currency code information supplied by the authorization service.

• Vendor responses (Responses at the Work with Authorization Services Screen): Optionally, you can select the Force deposit for FPO field.

You can also set up merchant ID overrides by entity.

Pay types: Each pay type eligible for deferred or installment billing should have the authorization service set up as its authorization and deposit service.

More information: See Working with Currency (WCUR) for more information on setting up pay types or currency codes.

Order Hold Reason Codes

The order hold reason codes you should set up in Establishing Order Hold Reason Codes (WOHR) as part of credit checking pay plan orders are described in this table:

Hold Reason Code	Used When...
P$	You enter an order that makes the sold to customer's total undeposited pay plan orders exceeds the amount specified in the Dollar Threshold for Sold To Customer Orders with Flexible Payments (F54) system control value; see System Control Values for an example.
PV	You enter an order that makes the sold to customer's total pay plan orders exceed the limit specified in the Number of Times Flexible Payment Option is Used (F52) system control value, for the period specified in the Number of Days Flexible Payment Option is Used (F53) system control value; see System Control Values for an example.
SB	Any open orders for the same sold to customer are put on hold because a deposit for this customer was rejected at the Auto Deposit Screen (Send or Receive Deposits).
CB	Any open orders for the same credit card number are put on hold because a deposit for this credit card number was rejected at the Auto Deposit Screen (Send or Receive Deposits).

Additional and Recommended Setup

Optionally, you can set up the fields described below for use in deferred or installment pay plans.

Source code: You can use the following fields to control how pay plans apply in order entry if this source code is on the order header:

• Flex pay code: If you enter a pay plan code, it gives the pay plan priority in the evaluation hierarchy the system uses when selecting the plans that apply to an order.

• Exclude FPO: If you select this field, orders for this source code are excluded from pay plans.

See Working with Source Codes (WSRC) for more information on setting up source codes.

Item: Select the Exclude FPO field to exclude any order containing the item from pay plans.

See Performing Initial Item Entry (MITM) for more information on setting up items.

Consolidate invoice: Selecting the Consolidated Invoice (B49) system control value if you use deferred or installment billing will simplify pay plan management considerably by limiting the number of invoices for an order.

Pay plan settings: Using the following settings for each pay plan you create will simplify pay plan management:

• Auto apply: Set this field alike for all pay plans that might apply to an order to simplify the pay plan selection hierarchy in order entry.

• Ship complete: Select this field to simplify pay plan management by limiting the number of invoices for an order.

See Working with Flexible Payment Options (WFPO).