Extending the customer to another division

I am new to SD.....My client requirement is according to the division they select in sales order they should automatically get the payment terms...for one customer....
I got the solution that by extending the customer to another division we can solve this......
but when trying to extend the customer in XD01..customer code 500001,sals org - 4000, dist channel -50 div - 00(this how the customer master now)
now i tried extending customer code 500001,sals org - 4000, dist channel -50 div - 05
Sales area 4000 50 05 is not defined for customers
Message no. F2644
Pls guide me...

Dear pranav_23 ,
If you maintain the payment terms for respective customer it will be reflected in to the sales order.
Sales area 4000 50 05 is not defined for customers
Inorder to fix this issue you need to maintain the common divisions in the "OVR2" .
Please let me know if you have any further clarifications
Thanks&Regards
Raghu.k

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