What is ERP credit control?
ERP credit control is how an enterprise resource planning (ERP) system tracks what customers owe and chases overdue invoices, using its own reminders or a connected app. The ERP holds the ledger: invoices, payments and credit notes. Credit control is the work done on the overdue ones, from the first reminder to a hold on the account.
Most cloud ERPs include some of that work natively. In our review of eight cloud ERPs, seven document a reminder or dunning letter without an add-on and five add a fee or interest natively. None documents reading the customer's reply.
That gap is why many teams connect a credit control app to the ERP. The ERP keeps the ledger, and the app chases the overdue invoices and writes the results back. Compare the eight ERPs in credit control and collections software for ERPs.
ERP credit control is a narrower idea than credit control, which also covers credit limits and credit terms. It is also wider than dunning, which is the sequence of reminder letters.
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