Purpose of Credit Bill -

Credit Bill is used when the customer purchases goods on credit instead of making immediate payment. It allows to record the sale and track the outstanding amount to be collected later. This is mainly used for regular or authorized customers (like corporate clients or franchise branches) who have approved credit limits.

Example:
If a trusted customer buys goods worth ₹5,000 and agrees to pay after 15 days, a Credit Bill is created to record the transaction and monitor payment status.

Pre-requisites:

You can issue the credit bills on credit only for the customers who buy goods either on "Credit only" or "Both Cash and Credit".

Steps to create a Credit Bill

1. Select the Customer Name or press ENTER or Customer and select from Customers pop-up screen.

2. Either scan the Item Code or press ENTER or in Code to select from the pop-up screen.If required you can specify the Disc% or Bill Disc Amount (Cash Discount Amount).

4. Press F6 or click F6 Save.

The Payment Tender screen appears as shown below.

• Press 'B' to choose 'Credit' payment option.

• The Cash Amount toggles to Credit Amount 
  

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• Specify the Credit Amount and click Ok to save the Bill.

• The On-hand Stock quantity reduces as per the records in the bill saved.

FAQ  's

When the Bill Total exceeds the available credit limit of the customer, the message "Balance not Available. Available <<Credit Limit>>" will appear.   

* Collect the balance in terms of cash, credit card or cheque to continue.

* Extend the Credit limit for the customer in Customer master.

How to Set the Credit Limit for Customers?  

• Go to Master → Customer → Customer.

• Click Add/Edit for the customer.

• Set the Payment Type to either Credit Only or Both Cash and Credit.

• Enter the Credit Limit and Credit Days.

• If applicable, enter the Credit Balance (outstanding credit).

Customer payment Type is "Credit only" but In Tender screen, Credit option is not showing  

Answer - In Customer master, check the Credit balance of the customer. If the credit balance is more than the credit limit, then it does not allow to redeem credit amount since balance exceeds credit limit. Extend the Credit limit of the customer in Customer master screen

Other relevant operations

• Accounts Receivables: Payment receipt against credit Bills

• View A/R Summary 

• How to add Advance amount and adjust the amount against the invoices 

How to Do Adjustments for Credit Bills?  

Refer to the Credit Bill Adjustment for details on adjusting credit bills in finance and accounts. It provides an overview of outstanding credit and helps guide adjustments.

Why Are Some Sales Bills Not Showing in Edit Mode?  

If a credit has been fully or partially adjusted, the sales bill will be locked and cannot be edited.