Balance Forward Processing for AR130

For customers that are not part of a National Account relationship:

• and no parameter batch number is entered:

  • All payments for the customer will be processed.

  • Payments will be applied to open items (debit memos and invoices) in due date order until fully applied or no more open items exist. Open items that have mixed sign line items (that are processed by a payment) will be self-applied prior to any payment application.)

  • When all payments have been processed, it will check for any remaining credit memos and those credit memos will be applied to any remaining debit memos or invoices in due date order until fully applied or no more open items exist.

• and a parameter batch number is entered:

  • Payments are processed by batch number and in payment sequence order.

  • Payments will be applied to open items (debit memos and invoices) in due date order until fully applied or no more open items exist. (Open items that have mixed sign line items (that are processed by a payment) will be self-applied prior to any payment application.)

  • If the next payment belongs to the same customer it will be applied to open items (debit memos and invoices) in due date order until fully applied or no more open items exist.

  • If the next payment belongs to a different customer, the program will check to see if any credit memos remain open for the previous customer before processing the next customer’s payment. If credit memos exist for the previous customer, those credit memos will be applied to open debit memos and invoices in due date order. It is possible to apply one or more payments for a customer (if they are in sequential order in the batch), process all open credit memos, and then locate another payment for that customer further down in that same batch.

  • If there are no more payments in the batch, any remaining open credit memos for the last customer will be applied to open items (debit memos and invoices) in due date order until fully applied or no more open items exist.

For National Account customers, no differences are detected in the report when processing payments, whether a parameter batch number is entered or not (with exception of order in which payments are selected for processing). Payments from either the National Account customer or the invoiced account customer are processed in the same manner. Credit memos are only applied to payments.

• If the National Account Credits parameter is set to Y, all credit memos in the National Account relationship are applied to the first payment found. (Credit memos that have mixed sign line items will be self-applied prior to any payment application.) If any mixed sign line item credit memos remain open after self-application has taken place, the open amount of those credit memos is applied to the payment.

• If the National Account Credit parameter is set to N, credit memos that belong to a customer are applied to the first payment found for that customer. (Mixed sign line items (that are processed by a payment) are self-applied prior to any payment application.) If any mixed sign line item credit memos remain open after self-application takes place, the open amount of those credit memos is applied to the payment. If there are no payments for a customer, any credit memos for that customer will remain open.

• All invoices and debit memos in the National Account relationship are processed in due date order regardless of customer. All payments (whether they belong to the parent customer or child customer) are applied to the next invoice or debit memo in due date order.