Application Exception Rule Conditions and Actions

Use the Exception Rules section of the Create Receivables Application Exception Rule Set page to indicate how to process each overpayment and underpayment condition.

Each exception rule consists of:

• A condition.

• The amount and percentage that applies to the condition.

• The action to take when the condition arises.

The Action field contains the Receivables activities that you have defined for Adjustment, Receipt Write-off, or Refund. The underpayment or overpayment amount is accounted for in the general ledger accounts belonging to the applicable Receivables activity.

The User Review Required option indicates whether the action is processed automatically or requires manual review and approval.

For example, the exception rule:

Over Payment >= 100 Refund

means that if a receipt application overpays a transaction by $100 or more, then the customer should receive a refund.

The exception rule:

Under Payment < 5 Write-off

means that if a receipt application results in an underpayment of less than $5, then the remaining amount can be written off.

You can use the Percent field with the Amount field to further refine the scope of a condition. If you use both fields, then both conditions must be met in order to apply the rule.

For example, the exception rule:

Under Payment < 5 5% Write-off

means that if a receipt application results in an underpayment less than $5 and also less than 5% of the open balance, then the remaining amount can be written off. In this case, if a $10 open balance has a $4 underpayment, then this exception rule doesn't apply, because $4 is 40% of the open balance. If the $4 underpayment were for an open balance of $100, then the rule does apply, because $4 is 4% of the open balance.