Invoice Settlement provides you the advanced payment management, credit and debit memos, and item level transactions.
- With the Unapplied Payments feature, you can create unapplied payments, apply unapplied payments on invoices and debit memos, unapply applied payments, and transfer payments.
- With the Credit and Debit Memos feature, you can issue memos to correct invoices and manage the balance due on a particular invoice or account.
- With the Invoice Item Settlement feature, you can apply payments at the line-item level.
Key capabilities
The following table lists the key capabilities of the Invoice Settlement feature compared with Invoice Item Adjustment and Credit Balance features.
| Without Invoice Settlement | With Invoice Settlement |
|---|---|
| Negative invoices are generated for credit or negative charges. | No negative invoices are generated; credit memos are generated (opens in a new tab) instead. |
| You can create Invoice Item Adjustment to correct overcharging and undercharging. | You can create standalone credit memos and debit memos from invoices (opens in a new tab). |
| You can amend a subscription with a one-time charge for ad hoc credits or charges. | You can create standalone credit memos and debit memos (opens in a new tab) from product rate plan charges. |
| You can create invoice item adjustments to write-off an invoice. | You can directly write off an invoice (opens in a new tab) with high performance. |
| No way is available to re-bill to correct a previous invoice mistake. | You can directly reverse an invoice (opens in a new tab) to correct a previous invoice mistake. |
| Credit balance from overpayments or negative invoices cannot trace the source of credits. | Credit memos (opens in a new tab) and unapplied payments (opens in a new tab) provide precise traceability to the corresponding product rate plan charges or original payments. |
| No way is available to record a payment without assigning it to an account or an invoice. | You can create a payment (opens in a new tab) as Unassigned. The payment can be processed, recorded, and accounted for initially. Then, it can be assigned to an account and applied later. |
| No way is available to settle specific invoice items. | You can apply payments or credit memos to specific invoice items (opens in a new tab). |