Recurring Billable Charge Does Not Create Prorated Charges If The Trial Billing Is Run
(Doc ID 2455484.1)
Last updated on MARCH 26, 2019
Applies to:Oracle Financial Services Revenue Management and Billing - Version 22.214.171.124.0 and later
Information in this document applies to any platform.
Recurring Billable Charges are generally created to calculate fixed charges for an account. The recurring charge normally reoccurs at every billing frequency for the account.
For e.g. Consider a client on a quarterly billing cycle with standard quarters ending in March, June, September and December. Assuming this client has a fixed charge of $300 every quarter. So, we create a recurring billable charge with a start date from the beginning of the bill period and some future contract end date and recurring frequency of Quarterly since we want the charge to be created once every quarter.
So, when we generate a bill after March ending, the bill segment will get created from the recurring billable charge with an amount of $300.
Now the next billing only happens during June end. In April however, an accrual needs to be created for the client. So, we initiate Trial Billing. Trial billing works same as billing and will bill all the billable charges however it will not create a prorated bill segment for the recurring billable charge that is supposed to recur ever quarter. Hence ideally when we should have a trial bill segment for $100 in April, we have none. So, no accrual also be generated for this amount. As a result there is a loss of accrued revenue and revenue leakage.
So please can you include some extension/logic to create prorated charges for recurring billable charges if billing/trial billing is run in between the bill period or before the recurring frequency is over.
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