# Credit Limit Setting
Credit Limit Settings define how much credit a customer, customer group, or customer category can use. Limits are evaluated when you approve sale quotations, orders, or invoices configured in the rule.
Overview & List View
Go to Sales → Settings → Credit Limit Settings from the left menu.
Create one setting per scope (customer, group, category, or generic). Only active settings apply. When multiple settings could match, the most specific scope wins.
List columns
| **Column** | **Description** |
|------------|-----------------|
| Id | Setting record ID. |
| Date | Effective date of the credit limit rule. |
| Customer | Customer scope when set. |
| Customer Group | Group scope when set. |
| Customer Category | Category scope when set. |
| Bill Total | Maximum outstanding bill total allowed. |
| CustomerTotal | Maximum total outstanding for the customer. |
| Customer Bill Count | Maximum number of open bills allowed. |
| Maximum Credit Days | Maximum credit days allowed. |
Quick filter tabs
| **Tab** | **Shows** |
|---------|-----------|
| Active | Active credit limit settings (default). |
| Suspended | Suspended settings. |
Advanced filters
| **Filter** | **Description** |
|------------|-----------------|
| Id | Filter by record ID. |
| Customer, Customer Group, Customer Category | Scope filters. |
| Status | Active or Suspended. |
List row actions
| **Action** | **Description** |
|------------|-----------------|
| View | Opens read-only details. |
| Edit | Opens the edit form. |
| Delete | Removes the setting. |
New Credit Limit Setting
Fields
Basic
| **Field** | **Description** |
|-----------|-----------------|
| Date * | Effective date of the credit limit rule. |
| Customer | Optional. Applies to one customer. Highest precedence when set. |
| Customer Group | Optional. Applies to all customers in the group when no customer-specific rule matches. |
| Customer Category | Optional. Applies when no customer or group rule matches. |
| Bill Total Limit | Maximum total value allowed on a single bill. |
| Credit Bill Count | Maximum number of open credit bills allowed for the customer. |
| Maximum Credit Days | Maximum age (days) allowed on outstanding credit before blocking new credit sales. |
| Customer Total Credit limit | Maximum total outstanding credit allowed across all open bills. |
Bypass & Transaction Rules
| **Field** | **Description** |
|-----------|-----------------|
| Consider Cash Bills | When on, cash/settled bills count toward credit totals and bill count. When off, only credit terms bills are counted. Default: on. |
| Allowed Transaction Types | Which documents trigger the credit check on approve: Sale Invoice, Sale Order, Sale Quotation. Default: Sale Invoice only. |
| Users allowed to bypass | Users who can approve despite a credit limit breach. The bill is flagged as approved with bypass. |
How It Works
When it runs
Credit limits are checked on Approve for each transaction type selected under Allowed Transaction Types. Draft saves are not blocked.
Setting precedence
When multiple active credit limit settings exist, the system picks the most specific match in this order:
- Customer — setting with the customer's ID
- Customer Group — setting for the customer's group
- Customer Category — setting for the customer's category
- Generic — setting with no customer, group, or category (applies to all customers)
Limit checks
For the matched setting, approve is blocked (unless the user is in Users allowed to bypass) when any configured limit is exceeded:
| **Limit** | **What is compared** |
|-----------|----------------------|
| Bill Total Limit | Current bill total vs maximum single-bill amount |
| Customer Total Credit limit | Customer's total outstanding credit (per Consider Cash Bills) vs limit |
| Credit Bill Count | Count of open credit bills vs maximum count |
| Maximum Credit Days | Oldest outstanding credit age vs maximum days |
Connected reports
Monitor credit exposure using:
Actions
List header: New
| **Action** | **Description** |
|------------|-----------------|
| Edit | Opens the credit limit form |
| Delete | Removes the setting |
| Clone | Creates a copy |
| Activate / Suspend | Enables or disables the setting |
| Print | Prints the setting detail |
Form buttons: Save / Update, Reset, Cancel
FAQ
Does credit limit apply on save?
No. The check runs on Approve for the transaction types you select.
Can one user override a blocked approve?
Yes. Add the user under Users allowed to bypass. The transaction records that credit limit was bypassed on approve.
Should I set limits at customer or group level?
Use customer-specific limits for exceptions. Use group or category limits for tiered credit policies. Generic settings apply when nothing more specific matches.
What types of limits can I set?
Per-bill total, customer outstanding balance, maximum number of open credit bills, and maximum credit days from oldest open invoice.
Do cash sales count toward the limit?
Controlled by Consider cash bills. When off, cash and certain immediate pay modes may be excluded from outstanding and bill-count checks.
Which documents are checked?
Select allowed transaction types — typically sale invoice, and optionally sale order or quotation. The check runs on approve only.
What happens when a user without bypass tries to exceed the limit?
Approve is blocked. Users listed under Users allowed to bypass can confirm and proceed; the transaction records that credit limit was bypassed.