Payment method defaulting rules determine when payment methods default onto a document payable, such as an invoice. Various products are shown in the Payment Method Defaulting Rules page because you can have different defaulting rules for different products. A payment method defaults onto a document payable when all specified conditions are met. That is, values on the document payable, such as legal entity, organization, and payment type, must match the values for the defaulting rules' conditions for the applicable payment method to default onto the document payable.
Oracle Payments applies the rules in the user-specified priority. For example, if the first rule is a match, Oracle Payments stops and defaults that rule's corresponding payment method onto the invoice. Further, suppose you specify that the payment method for all documents processed by Oracle Payables is first, Check and second, EFT. In this case, if the conditions for Payment Method Check match those on the invoice, then Payment Method Check defaults onto the invoice. If the conditions for Payment Method Check do not match those on the invoice, then Oracle Payments determines whether the conditions for Payment Method EFT matches. If the conditions for Payment Method EFT match those on the invoice, then Payment Method EFT defaults onto the invoice.
Generally, the source product allows the user to override the default payment system manually.
The purpose of setting up payment method defaulting rules is to create and maintain defaulting rules for when payment methods are to default on documents to be paid.
If the First Party Legal Entity, the First Party Organization, the Payment Processing Transaction Type, the Currency, and the Payee Location on the defaulting rule all match the same values for those attributes on the invoice, then that payment method defaults onto the invoice.
The first party legal entity is the legal entity to which the invoice belongs.
The first party organization is the organization to which the invoice belongs.
First party organization uses access control security, so that when you click the Add button, you only see the first party organizations to which you have access. This means that you can only add first party organizations to which you have access.
The Payment Processing Transaction Type list of values only displays the payment processing transaction types assigned to the source product for which you are updating or creating a rule. Payment processing transaction types includes the following payment types:
customer refunds
loan funding
payable documents
employee expense reports
bank accounts transfers
ad hoc payments
Typically, defaulting rules are reordered when:
you create a new defaulting rule
the deploying company's business process has changed