Customer Down Payment

When to Use This Form

• When a customer pays before the final invoice is created.
• When finance needs to record advance payment balance per customer.
• When customer down payment will later be applied to Sales.
• When the company needs journal and audit trail for customer advances.

Customer Down Payment Balance Concept

• Down payment increases customer advance balance.
• Sales can consume the balance when invoice is created.
• Remaining balance stays available for the customer.
• The balance should be reconciled with customer statements and accounting reports.

Prerequisites Before Entry

• Customer master data is active.
• Payment type cash/bank is active and has proper account.
• Currency and exchange rate are correct.
• Customer advance account is prepared in customer group or related setup.

Workflow

1. Open Sales / Customer Down Payment.
2. Choose customer, division, date, currency, and payment type.
3. Fill received amount and memo.
4. Save the transaction after checking payment account and amount.
5. Use the down payment in Sales when creating customer invoice.

Form Fields

Used in Sales Form

• Sales can apply available customer down payment to reduce invoice balance.
• Applied amount reduces down payment balance.
• Check customer and currency before using the balance.
• Do not apply more than available balance.

Journal Impact After Save

• Cash/bank increases when payment is received.
• Customer advance liability is recorded.
• When Sales consumes the advance, the balance moves from advance to receivable/payment settlement.
• Exchange-rate difference can appear when currency differs.

Edit, Delete, and Print

• Editing a customer down payment can change customer advance balance and journal.
• Deleting should only be done when the down payment has not been used by Sales.
• Printed documents should show customer, amount, currency, payment type, and memo clearly.
• If the transaction has been used, create a correction according to accounting policy instead of deleting it carelessly.

Checklist Before Saving

• Customer is correct.
• Payment type and account are correct.
• Amount, currency, and exchange rate are correct.
• Memo explains the purpose of the advance.
• The down payment is not duplicated with another receipt.

Common Issues

• Down payment not available in Sales: check customer, currency, status, and remaining balance.
• Wrong balance: check previous usage in Sales.
• Cannot save: check payment type account and required fields.
• Journal mismatch: check customer advance account and payment account.