← All articles · Dynamics 365 Finance · 2026-10-08 · 101 words · by Salman Ahmad

Auto Settle Credit Notes/Return Orders

Auto Settle Credit Notes/Return Orders

In a recent meeting with a client from one of my friends, the client asked if there is a way if we can settle the automatically credit notes or RMA with the open invoices.

First instance I suggested him to use the COD method on payment terms, but it was not working on RMA.

Setup:

Go to AR>setup>parameters>Update tab.

Click on Invoice

Process:

Create a new sales order, post an invoice

If the customer is returning the goods or you are issuing a credit note.

The system will automatically settle the open transaction with credit note.