Abstract: The various embodiments herein provide a method and system for managing credit disputes associated with account payables of an organization. The method comprises of fetching a current version of a variance data from a database, determining whether the variance data matches with a pre-recorded data, creating a claim for a discrepancy in the variance data if the variance data does not match with the pre-recorded data and generating one or more notifications based on the discrepancy. The variance data comprises at least one of purchase order information, invoice information; items received information and payment information. Once the claim has been created the credit that comes back is match to wring every single penny.