Customer Credit Status

Customer Credit Status

Customer Credit Status controls whether a customer may keep transacting, based on their payment history and outstanding balance. Not every customer pays on time, and this is the lever that stops overdue debt quietly growing while new orders keep being accepted.

How to Access

Go to Setup > Sales > Credit Status, or Sales > Settings > Credit Status, then click + Add New.

Credit Status List View

ColumnDescription
DescriptionThe name of the credit level, such as Good Standing or Non-Good History.
Disallow invoicingYes blocks the customer from transacting further; No lets them continue buying.
InactiveA toggle switching the status between Active (No) and Inactive (Yes).
ActionsThe pencil icon edits a status; the trash can deletes it.

Tick Show also Inactive at the bottom of the list to see deactivated statuses and review historical data without deleting records.

Adding a New Credit Status

FieldRequiredDescription
DescriptionYesA name for the credit level, for example Good Standing or Non-Good History.
Disallow invoicingNoSelect Yes to block new transactions for customers on this status, or No to allow them.

Define the criteria each status represents — what level of overdue balance or payment behaviour puts a customer into it — so your team applies them consistently.

Assigning Status to Customers

  • New customers — choose a credit status while creating the customer.
  • Existing customers — open the customer edit popup and select the correct status.

Applying Credit Status in Transactions

The assigned status determines whether a customer can proceed with new transactions. A status with Disallow invoicing set to Yes stops the sale before it is entered, which forces the overdue balance to be dealt with rather than deferred.

Credit status is a hard block, not a warning. It is separate from the credit limit shown on the sales forms as Customer Current Credit — the limit tells you how much room is left, the status decides whether they may transact at all.

Example Scenario

A customer has significant overdue balances and is not paying on time. Assign them a Non-Good History status, and:

  • The customer is restricted from making new purchases.
  • Sales staff are alerted to the poor payment history and understand that new transactions should not be processed.
  • The pressure to settle moves onto the customer, reducing your financial risk and encouraging prompt payment of what is owed.

Where this is used

  • On the customer record, as their assigned credit level.
  • At transaction entry, where a blocking status prevents the sale.
  • Alongside the credit limit shown on quotations, orders and invoices.

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