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Create a letter of guarantee request for a purchase order

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Important

This content is archived and is not being updated. For the latest documentation, see Microsoft Dynamics 365 product documentation. For the latest release plans, see Dynamics 365 and Microsoft Power Platform release plans.

Applies To: Microsoft Dynamics AX 2012 R3, Microsoft Dynamics AX 2012 R2, Microsoft Dynamics AX 2012 Feature Pack, Microsoft Dynamics AX 2012

A letter of guarantee can be issued for a purchase order transaction between a principal and a beneficiary. After the purchase order is created, the principal can create a letter of guarantee request for the vendor and submit it to the bank. When the bank approves the request, the letter of guarantee is issued to the beneficiary. For more information, see About letter of guarantee and Activate the letter of guarantee.

Create a purchase order

Use the Create purchase order form to create a purchase order with the Bank document type as Letter of guarantee.

  1. Click Procurement and sourcing > Common > Purchase orders > All purchase orders.

  2. Click Purchase order to create a new purchase order.

  3. In the Create purchase order form, select the One-time supplier check box for a new supplier that you do not expect to place future orders with.

  4. In the Vendor account field, select the vendor that requested the letter of guarantee.

  5. Click the General FastTab, and in the Bank document type field, select Letter of guarantee. Enter any other required details.

  6. Click OK to close the Create purchase order form and return to the Purchase order form.

Create a letter of guarantee request for a purchase order

You can request a letter of guarantee for a vendor using the Purchase order form. After you make a request, you must submit the request to the bank for approval.

  1. In the Purchase order form, click the Purchase order lines FastTab.

  2. Click Add line to create a purchase order line for the created purchase order and specify item details in the Item number, Quantity, and Unit price fields.

  3. On the Action Pane, click the Manage tab.

  4. In the Bank document group, click Letter of guarantee to open the Letter of guarantee form. For information about how to create the request, submit the request to the bank, and issue the letter of guarantee to the beneficiary, see Request and issue the letter of guarantee.

  5. Close the forms to save your changes.

See also

Increase or decrease the letter of guarantee value

Liquidate, extend, or cancel a letter of guarantee

Letter of guarantee (form)