sap fico Additional Process Information

Since down payments are very seldom used in the United States, this process is illustrated for a European environment using European data.

The basic concept: Your vendor sends you a letter/message requesting that you pay a specific down payment amount, and specifying the date by which this amount is to be paid. You post the down payment request in your system and pay the down payment amount at the specified time. For you, this represents an outgoing payment. When you post the invoice, you clear the down payment with the invoice and thus reduce your payables. You can carry out the entire process in Accounts Receivable where the same functions are available.