Record Customer Check or Draft in the Payment Document Master

Outcome

The customer payment is recorded. Regular or postdated checks are entered in accounts receivable, with or without allocation to invoice. Drafts are entered as accepted and allocated to invoice.

These reports are printed: a list of payment documents entered, a customer payment journal, and an accounting journal.

Note that for preliminary postdated checks, only the payment document list is printed.

For checks not allocated to invoice, start 'Payment Received. Record' (ARS110) and carry out the allocation and any adjustments needed.

Remit allocated checks to bank for collection or deposit them manually. Remit drafts to bank to be collected.

For postdated checks, update the financial system before remittance or collection.

For regular checks and drafts, accounts receivable and the general ledger are updated. For further information, see Recording Customer Payments and Recording Customer Payments Received as Draft or Definite Postdated Check.

Payment receipts are created, if requested, and displayed in 'Payment Receipts. Display' (ARS400). See Manage customer payment receipts for a detailed description.

Depending on the definition of the payment type in 'AR Payment Type. Open' (CRS076), the customer risk is canceled for preliminary postdated checks at entry.

Before you start

• FAM function AR05 (Check entry in the payment document master) must be defined in 'FAM Function. Open' (CRS405).
• Payment types belonging to payment class 1 must be defined in 'Payment Type. Open' (CRS078) and connected to the detail records. Note that the 'Remittance method' field on (CRS078/E) must define whether bank remittance is to be used.
• Settings for payment receipts, if requested, must be configured as described in Manage customer payment receipts with the optional configuration of cash register as described in Cash register for customer payment receipts.

Follow these steps

1. Start 'Payment Document. Enter' (ARS105/B) where the available entry templates (FAM function detail records) are listed with these information: voucher name, method for creating transactions at check entry, currency, exchange rate type, and payment class.

2. Select a detail record to use as entry template.

3. On the E panel, review the proposed values and change them when necessary: accounting date, currency, exchange rate type and exchange rate. Press Enter.

4. On the F panel, specify a sequence number for the payment document. Click New.

5. Specify the payer, payment method, payment amount, and check/draft number (required values). If needed, change the proposed bank account and currency.

6. For drafts and postdated checks, specify the due date.

7. Specify a banking region, if the payment document should be remitted to bank for collection and banking regions apply (optional).

8. Press Enter and select one of these alternatives:

   • If you are recording a check belonging to payment class 1, the registered check payment will be displayed on the E panel. Continue with the remaining payment documents.
   • If you are recording a check belonging to payment class 2 or a draft, 'Payment Received. Record' (ARS110/F) will be activated. Carry out the allocation and any adjustments as described in Allocating Customer Payments to Invoice and return to (ARS105) by pressing F3.

9. When all payment documents are recorded, make a final review of the entries displayed on the E panel and use option Open to adjust any values, when needed.

10. Press F3 to exit the program and update the ledgers.