In short
Service credits are money off the price when a supplier misses an agreed service level, such as availability.
What it means for you
For the customer, credits are a quick remedy without a dispute. For the supplier, they are a cost, and an open-ended one if the contract sets no limit. Check whether credits are the only remedy or come on top of other claims.
Where to find it
In a service level schedule, often with a table of targets and credit amounts, and in the clause that says how credits are paid.
What to look for
- Which service levels earn credits
- How much each miss costs, and any monthly limit
- Whether credits are the only remedy
- How and when credits are paid or applied
How Gathersense helps
Commercial terms puts service credits in figures next to fees and payment days, so you can see what is at stake.
