Current Account
This is a way of working in which the ongoing buying and selling between a corporate buyer and the seller is tracked as debit and credit in a single account. Instead of a separate collection for each shipment, periodic reconciliation is carried out; the terms of maturity, limit and security depend on the contract between the parties.
A current account reduces the transaction burden for dealers, integrators and industrial customers with repeat purchases. Every invoice is entered on the debit side of the account and every payment on the credit side; the balance shows the net position between the two parties.
- Maturity: determines the period within which the invoice is to be paid.
- Limit: restricts the maximum balance that can be outstanding at any one time.
- Reconciliation: at the end of the period the records of the two parties are compared and the balance is verified.
There is an important legal consequence: a purchase running through a current account is commercial in nature, and the protective regime of consumer legislation does not apply to this relationship. The right of withdrawal and the consumer arbitration committee route are specific to consumer transactions; in a commercial purchase, disputes are resolved under the general provisions. If you wish to work on a current account basis, you need to apply through the contact channels with your company title, tax identification number and tax office details; the terms are set by contract.
The context in which this term is used: contact page