Implemented More options to put a customer on Credit Hold
Daniel Millott
If understand correctly, the only way to place a customer on Credit Hold/Stop Credit is for them to reach their credit limit.
However, reaching credit limit is not the only reason a customer may be placed on Credit Hold.
So the current workaround suggested by Dear is to change their status from Active to Deprecated, however this could indicate they are an obsolete customer.
It would be great if we could have the ability to perform either/both of the following additional methods for Credit Hold:
- Have a simple check box on the customer's Dear profile which puts them on Credit Hold, and disallows adding/fulfilling/shipping/processing new and existing Sales Orders or Invoices. Ideally you would be able to set User permissions as to who has the ability to Edit the Credit Hold status of a Customer
- Along the same lines as the credit limit function, create a rule whereby when the Customer has outstanding amounts overdue (which is determined by their payment terms) they are put onto Credit Hold, until payment has been made. With the 2-way sync in Xero this could work really well. Ideally you would be able to have an editable 'grace period' from when the customer reaches overdue to when Dear puts them on Credit Hold... e.g. overdue by X days.. the X should be customisable in General Settings
Hi All,
We are happy to announce that this feature has now been developed and available in Production.
Please find the release note here: https://dearsystems.com/new-release-17th-may-2020/
Best Regards,
Heshan - DEAR Systems
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I have raised a new ticket for this here: https://dearsystems.freshdesk.com/support/tickets/149430
Please come over and support my request for atuo on hold for overdue accounts.
Looks like nothing has changed since my post a few months ago. If a Grace Period is set, no notifications of exceeding credit limit comes up unless they have exceeded the Grace Period also.
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For those who do not know, there is an additional request for this auto on hold for overdue accounts function that we are all so eagerly waiting for, it may pay to jump over there and follow and like the rquest to gain more traction.
Please see request here:
https://support.dearsystems.com/support/discussions/topics/11000017800
I echo Corry's question:
DEAR can you please clarify that the overdue account automated on hold function has been implemented as described by Daniel in the intial post and is not dependant on accounts exceeding the credit limit?
Keen to hear what has been implemented (and if/when)
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I have just received an email from DEAR saying this request has been implemented. The original Post by Daniel Millott requested two functions; Manual on hold tick box and Automatic on Hold when accounts are overdue. The Manual on hold tick box has been implemented and works as described by Daniel. However the auto on hold when accounts are over terms does not work, there has been no change here.
The issue is that unless the customer is over the credit limit and over the due date, then the customer is not put on hold. The ideal function would be when the customer has not exceeded the credit limit but has an outstanding balance that is now overdue, they are also put on hold. This would be in addition to when they have exceeded their credit limit. They are two very different reasons for putting an account on hold and need to function seperately, at this point auto on hold depend on the customer also being over their credit limit.
The only thing I can think is that the function has not been implented as yet and I have tested the new function too soon.
DEAR can you please clarify that the overdue account automated on hold function has been implemented as described by Daniel in the intial post and is not dependant on accounts exceeding the credit limit?
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Credit on hold for overdue accounts is our primary use for this function and as outlined in the comment by Peter Hilton, this does not work in a way that benefits our business.
Although some businesses may not allow customers to exceed their credit limit, many welcome greater revenue per customer. This function is still important, however I believe on hold for overdue accounts would be the more widely used.
This needs to be fixxed, everything done so far is great, however when a customer is overdue, the account needs to be put on hold despite the amount they have been credited to this point.
Also, the 'Grace Period' is a great feature for those customers who pay on 45 days or a particular day of the month, make sure you keep this feature.
Keep going with this one DEAR, you are almost there!
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Last week I noticed that our Credit Limit feature is not working. Assuming this was linked to/caused by the Grace Period feature (currently set to 21 days) I did some testing with it just now. Confirmed, they don't co-exist.
Scenario is:
Grace period set to 21 days
Customer is already over their limit with oldest invoice 15 days overdue. Nothing is blocking or warning the Sales Team of the account being over it's limit, they are processing new orders entirely unaware of the status of the account.
Reduced Grace Period to 10 days, no change, tried 5 days also and no change.
Reduced Grace Perido to 0 days, credit limit exceed notifications are back!
It seems the Credit Limit and Grace Period features do not work together at all. Hopefully DEAR can improve on that and make them compliment each other.
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Those points are great to know Peter, thanks for sharing.
And completely agree with you on all 3 points - a customer doesn't only go on credit hold when they've reached credit limit, they can be overdue on payment but well under their credit limit (for us, customer going overdue is much more prevalent than exceeding credit limit)
@DEAR, you're so close to getting this right - please just fix these last little things for us!
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Looks like it's in place..at least in a way. Link to DEAR instructions on use, released last Friday: http://support.dearsystems.com/support/solutions/articles/11000075216-credit-limits-and-credit-holds
Some feedback on what I've found so far. I like that it's been implemented, thank you. I like the adjustable Grace Period and the Manual Credit Hold function.
* The Automatic Credit Hold feature only works/activates if they're over their credit limit & beyond the Grace Period, if they're under the limit it does not kick in.
- This makes the Automatic Credit Hold feature redundant as the Credit Limit is already exceeded for it to activate and the Credit Limit prevents the sale.
- The Automatic Credit Hold feature needs to activate once the grace period is expired, irrelevant of the credit limit position which by itself can activate sooner if they exceed their credit limit. An example of this is $5k limit, $2k @ 3 months overdue, new order for $2900 would be allowed irrelevant of the fact they're 3 months behind. Automatic Credit Hold should prevent this new sale, not allow it.
- ATM, no notification for (Automatic) Credit Hold is showing up, only notification for Exceeding Credit Limit.
Is it possible to also log the event in the invoice logs when a team member proceeds past a Credit Hold/Limit notification for those that have the permission to do? This would give us an audit trail to refer to in relation to the state of account when that order was placed.
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An update on time frame would be good being this thread was started 2 years ago..
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Very excited to see this implemented. Any timeframe?
Equally if I may add we should also be able to have information from suppliers invoices alike awaiting for a refund, expecting a credit note etc. We should also be able to put those invoice on hold from payment if needed. An easy way to have info display exactly like (paid,
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Shall we receive a notice when the credit hold by days feature will be up?
Thanks! Very much look forward to have have the function asap!
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