Why do we need to define credit segment in FSCM?

[meoul]

Hi,

While I was trying to figure out the main differences between FI-AR-CM & FI-FSCM-CM, I came across the credit segment. What's the diffrence between Credit Control Area and credit segment ? Why we need to define a credit segment since it's assigned to credit control area ? What's its business value please?

Thank you for your feedback !

[Lakshmipathi · Accepted solution]

Below is the SAP explanation on Credit Segment