Accounting · Odoo glossary
Credit Management
Credit management controls the risk of selling on credit by evaluating customers, setting limits and terms, and reviewing overdue exposure.
Definition
In general ERP practice
Credit management controls the risk of selling on credit by evaluating customers, setting limits and terms, and reviewing overdue exposure. It combines commercial policy with collection evidence.
In Odoo
Odoo receivables and overdue follow-up provide the accounting tools for customer credit control. The documented Point of Sale Customer Account workflow can warn when a maximum sales credit is reached, but the warning does not prevent the sale. A required hard approval block needs its own configured control.
Official Odoo documentation
The Odoo-specific explanation above is based on the documentation for Odoo 19. Features and workflows can differ in other versions.
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