Use of Letter of credit for purchase through R/3

Hi
Any body can tell me how to use the facility of payment Guaranty - Documentary payment (Letter of Credit) in purchase.
Create a letter of credit
Link the Letter of credit with PO
Track the Letter of credit with materials receipt
Retire the letter of credit
The above all to be configured and used in sap R/3
Prabhakar

Hi,
Go through this link.
http://help.sap.com/saphelp_erp60_sp/helpdata/en/d8/2585347860ea35e10000009b38f83b/frameset.htm
Thank you,

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Letter Of Credit For Purchase

Can someone provide me the configuration documents for lettter of credit of purchase.
Thanks in advance.

Hello Sachin,
Please go through the following link it may help you
https://wiki.sdn.sap.com/wiki/x/T4DPAQ
Thanks
Para

Letter of credit in purchasing

Dear All
i want to Use Letter of credit for purchase through R/3 please guide me which course should i study or which is document name or book about LOC?
best regards
R.T

the import data view in purchase order is displayed or hided based on customizing
OLME > Foreign trade > control of FT in MM and SD documents > Import views in purchasing documents
And it will not help you, as standard SAP does not support letter of credits in procurement. the functionality is only there for SD.
the basis meaning of LOC is to secure that a vendor gets the money for the material delivered. so he needs this control to avoid that he does overdeliveries for which he will never see the money.
there is nothing for the buying party to see how much of a LOC is already fulflilled. you either do this manually outside SAP, or you have to built your own logic, tables and programs to do it in SAP.
As a workaround you could create contract which has the amount or the LOC, and do call offs against this contract. So you could use SAP standard transactions to monitor how much you have released and how is left on the contract (respective on the LOC)

Letter of Credit for Vendor Payments

Hi All,
We are implementing ECC 6.0 Version.
The client requirement is to create Letter of Credit for Vendors and to capture data relating issue of Letter of Credit, Terms of Payment and Expirition Date. Against a Single Letter of Credit issued to a vendor client may receive more than one Invoice till the Expiry period of the Letter of Credit and Value. Further, client may also amend the Old Letter of Credit by extending the validity period or the value of the LC.
I know that we can create letter of credit through Special GL indicator 'L'. But it is one Letter of Credit to One invoice for clearing. How to map one letter of credit to multiple invoices and how we can capture expirition date of LC.
Further same vendor can have multiple LC opened against them for different projects. Please let me know detailed configuration steps.
Best Regards,
Bhargav.
Edited by: Bhargava Ram on Oct 3, 2008 3:40 PM

Hi,
Sorry i guess my question is not clear. It is not to link any LC with PO
The client will raise a single LC against any import vendor. Since these are large CAPEX related purchases, the vendor will send multiple invoices. The bank will adjust the LC against the invoices. Post adjustment the bank will send th advice to the company.
My question was how we can adjust multiple invoices against a single LC
THanks
Sembian

Process Of Letter of Credit for Imports

Dear all,
Any one tell me process Of Letter of Credit for Imports ?
which transaction code can I use to post accounting entries ? which step to configure ?
step by step
Thank in advance
Minhtb
Edited by: Tran Binh Minh on May 8, 2008 5:44 AM

Hi Phani
Thank for your help
Please tell me step by step from creating a letter of credit to paying
I have a business below:
1. The Clearing agent ask for amount, the person who receive the product will give Letter of Authority to Clearing Agent. The clearing agent move to bank and take check.
For this purpose, we just issue LA.
2. Prepare Purchase for the Vendor from whom we are going to receive the product. There may be 2 or more Vendors.
1. Product cost to be transferred to Vendor A
2. Freight or Other Charges to Vendor B
3. Customs Duty and Others to Vendor C
3. First We have to pay Customs Duty to Commissioner of Customs after LA issued.
Entry : Customs Clearing a/c   Dr
           Cess on Custom a/c    Dr
           CVD Clearing a/c       Dr
           Cess on CVD a/c       Dr
           Special CVD a/c        Dr
           Vendor C a/c             Cr.
4. Cenvat credit for the product will be taken by person who handling Excise in that company
Entry : Cenvat Clearing a/c Cr.
            RG23A Part II   a/c Dr.
5. Clearing of Cenvat Credit
Entry : Cenvat Clearing a/c Dr.
            CVD clearing a/c    Cr.
            Cess on CVD a/c     Cr.
            Special CVD a/c     Cr.
6. After Bank payment they will transfter to us
Entry : Vendor a/c - Dr.
           Bank   a/c - Cr.
Please tell me how to configure and post accounting entries
Step by step
Thank you very much
Minh

Letter of Credit for Imports

Hi All,
How to map letter of credit for import purchase orders in MM module. The foreign Trade part of SD module only talks of export.
Prashant Tawde

Hi Phani
Thank for your help
Please tell me step by step from creating a letter of credit to paying
I have a business below:
1. The Clearing agent ask for amount, the person who receive the product will give Letter of Authority to Clearing Agent. The clearing agent move to bank and take check.
For this purpose, we just issue LA.
2. Prepare Purchase for the Vendor from whom we are going to receive the product. There may be 2 or more Vendors.
1. Product cost to be transferred to Vendor A
2. Freight or Other Charges to Vendor B
3. Customs Duty and Others to Vendor C
3. First We have to pay Customs Duty to Commissioner of Customs after LA issued.
Entry : Customs Clearing a/c   Dr
           Cess on Custom a/c    Dr
           CVD Clearing a/c       Dr
           Cess on CVD a/c       Dr
           Special CVD a/c        Dr
           Vendor C a/c             Cr.
4. Cenvat credit for the product will be taken by person who handling Excise in that company
Entry : Cenvat Clearing a/c Cr.
            RG23A Part II   a/c Dr.
5. Clearing of Cenvat Credit
Entry : Cenvat Clearing a/c Dr.
            CVD clearing a/c    Cr.
            Cess on CVD a/c     Cr.
            Special CVD a/c     Cr.
6. After Bank payment they will transfter to us
Entry : Vendor a/c - Dr.
           Bank   a/c - Cr.
Please tell me how to configure and post accounting entries
Step by step
Thank you very much
Minh

Materials Management: Letter Of Credit for Vendor in SAP ECC 6.0

Hello Experts,
We are in the process of implementing SAP GTM for our Client.
One of Our Prime requirement is to map Financial Document "Letter Of Credit" for the Vendor in case Imports. I found that Letter Of Credit can be created only for Customer in Sales/Foreign Trade but the same option is not available for Vendor.
Does sap support Letter Of Credit in MM-Imports or in Finance for Vendors?
Thanks & Regards,
Ganesh

Hello Debasis,
Post EPC installation,you need to perform configuration of EPC through portal.You can see it listed under configuration--> configuration scenarios-->EPC.
During configuration you will be asked to define path of you primavera installation and a user on that system with sufficient permissions. This user is called APS user.
Try to do a mock configuration run on sandbox/dev system and then you can follow the guide.
Regards,
Hetal

How to config letter of credit for an import

hi gurus,
can somebody explain me how letter of credit is configured for an import. it would be highly appreciated if i get a step by step procedure.
best regards
sayeed

Hi,
Refer to this weblink
http://www.sap-img.com/financial/process-of-letter-of-credit-for-imports.htm
or
refer to this sdn thread
letter of credit
Please let me know if you need more information.
Regards
Sridhar M

Letter of credit for vendor

Dear all ,
Can anyone tell me how to create letter of credit for vendor . like the one create for customer via T.code VX11N
thank's

hi,
VX11N
is a transaction to maintain the Customer Letter of Credit and not Vendor's. In system we dont capture Vendor LC.
regards,
Sudhir

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Use of Letter of Credit in Sales cycle

Hi Guru's
Can any one send me or explain me of the letter of credit work process in SAP or sales cycle?
Please Suggest any documentation on it
thanx In advcnce.

HI Prashant,
here is the overview or payment cards
   1. When you create a sales order, you can enter credit card data manually, or copy it from the payer master record. You can enter one card in the sales order overview screen. You are able to enter multiple cards, or multiple authorizations on one card, in the payment card plan in the sales order header. The system automatically authorizes the sales order when you save it.
At a later time, you create the delivery. The authorization may have expired in the meantime, so the system checks to ensure that it is still valid. If the authorization is no longer valid, the system tells you to reinitiate authorization in the sales order. You complete and save the delivery. When all the items are picked, packed, and goods issue is posted,
you create a billing document. Here, payment card data is copied from the sales order, or uploaded directly into the billing document from an external system, as in the case of point of sale. The system uses the authorizations in the payment card plan to calculate billing amounts. You process the billing document and release it to Financial Accounting.
PAYMENT CARD MASTER DATA
To quickly and efficiently process sales orders with payment cards, you can store card data in the payer master record. When you create a sales order, you simply call up a list of cards for the customer using the matchcode on the payment card number field. The system automatically copies the card data into the sales order for the card or cards that you choose from this list.
The one-time customer record is a collective account, in the master record, for a group of unrelated customers. For this reason, you cannot maintain payment card data for one-time customers.
Features
You can enter the following card information in the payer master record:
Card type, for example VISA, MC, or AMEX
Card number
      The system checks the card numbers you enter to ensure that they correspond to the numbering standards of the relevant payment card company (for example, checking to make sure that a Visa card number begins with "4").This reduces the risk of having to go through a lengthy authorization process in the sales order with an incorrect card number.
      The system also checks to ensure that a payment card belongs to only one customer. You cannot enter one payment card in two different master records.
Expiration date
Cardholder or company name as it appears on the card
Card category, such as credit card, customer card, or purchasing card
Blocking reason
If required, you can block the payment card by entering a reason, for example 01 for "card stolen". You maintain blocking reasons in Customizing for payment cards in the Billing section of the IMG.
Note
A block is for a particular payment card only. If one of the customer's payment cards is blocked, he or she may use another.
Also, a block does not effect sales documents that have already been created with the card. You can, however, run a standard search to determine all documents in which the card number is used.
Card valid-from date
Default card
You can assign a default card if there is more than one card for a customer. When you call up a list of cards for the customer in the sales order, this card is highlighted.
Hope this will be helpful...
Request you to reward points if helpful.
Thanks & regards
Abhishek Swarup

Payment by letter of Credit against Purchase order

When we are purchasing from Foreign Vendors , we need to open a Letter
of credit (LC) .
Depending on the terms of Purchase order , Vendor will discount it /get
payment from Bank on submitting LC and other necessary documents.
Vendor's Bank, at appropriate Time will send the same to Customer's Bank
How to mapped this scenario in SAP-MM and FI .
Activities required to be updated against Purchase order :
(1) Payment Terms : 100 % against LC on delivery
(2) History should reflect LC opened - Date and Bank Name which
Vendor has suggested, our company's Bank Name
(3) LC discounted details
(4) LC payment due date to our company Bank - as Procurement needs
to inform to Finance for this.
Any help will be highly appreciated.
Thanks and Best Regards,

When we are purchasing from Foreign Vendors , we need to open a Letter
of credit (LC) .
Depending on the terms of Purchase order , Vendor will discount it /get
payment from Bank on submitting LC and other necessary documents.
Vendor's Bank, at appropriate Time will send the same to Customer's Bank
How to mapped this scenario in SAP-MM and FI .
Activities required to be updated against Purchase order :
(1) Payment Terms : 100 % against LC on delivery
(2) History should reflect LC opened - Date and Bank Name which
Vendor has suggested, our company's Bank Name
(3) LC discounted details
(4) LC payment due date to our company Bank - as Procurement needs
to inform to Finance for this.
Any help will be highly appreciated.
Thanks and Best Regards,

How can I use Family Sharing for Store purchases if I use a different Apple ID for purchases?

A key feature of Apple's iCloud Family Sharing is the ability to share store purchases with invited family members. However, like many people, I use a different Apple ID for iCloud and Store purchases (ironically, primarily for the exact purpose of sharing among family).
Can I use iCloud Family Sharing to share purchases if I use a different Apple ID for Store (iTunes, App Store, etc.) purchases?

Sorry, let me clarify. I have two Apple IDs A and B:
A: Used for iCloud. All my calendar, mail, contacts, and other iCloud features are here. This is the ID I use as "the" iCloud on my iOS devices and OS X machines.
B: Used only for purchases, on all my devices and machines. This is what I used to log into iTunes, or to buy apps for iOS or OS X.
The issue is that the only way (currently) to set up Family Sharing is to invite from an iCloud ID (A, in my case) on an iOS 8 device. That's not the ID (B) I use for purchases. The question is whether there's a way to share those purchases given that I'm configured on all my devices with A for iCloud. (Clearly if I somehow send invitations from B, I can share purchases; but that's not the question.)
It sounds like the answer to that question is 'No'.
If that's the case, how do I invite from B? Do I have to configure an iOS device with B as the iCloud ID? My problem isn't that I want to ("willy nilly") avoid inviting form B; it's that there seems to be no way (certainly no convenient way) to do that.

Letter of Credit for Sales

Dear All,
Can anybody guide me the configuration of Letter of Credit.
Rgds,
Panda
Edited by: Siba Sankar Panda on Feb 15, 2008 3:06 PM

Hi
You need to configure the Recievables Risk Management in Basic Functions> credit Management.
Once you are done with the settings , you need to create the Letter of Credit through transaction VX11N.
after creation you get the documentary number , which you can actually use in the Sales Orders> Item level>Billing > Risk Management> Financial Document number.
This financial Document will contain , the details such as House bank , LC limit , Duration , Value etc.
Regards
KRSNA

Use of Letter of credit for purchase through R/3

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