Check Reconciliation transaction types

Specific transaction types are used in Check Reconciliation (CR), including these CR functions: CR Check Center Entry, CR Reconciliation Center Entry, and CR Reconciliation Rule Setup. These are the available Check Reconciliation transaction types:
  • Check [Type 1]
  • Charge [Type 2]
  • Adjustment [Type 3]
  • Deposit [Type 4]
  • Interest [Type 5]
  • Void [Type 6]
  • Transfer In [Type 7]
  • Transfer Out [Type 8]
Note:  In CR Check Center Entry, with the exception of Void transactions, none of these transaction types update a General Ledger account code . Use GL Transaction Entry to enter any CR transactions that must update General Ledger (GL). Void transactions [Type 6] reverse entries that were made in the Vendor module. Based on the setting of the Interface to Check Reconciliation from General Ledger option in SA Administration Options-Financials-Check Reconciliation, take these actions:
  • If selected, enter CR transactions with GL Transaction Entry to update General Ledger accounts;
  • If not selected, you can enter CR transactions in CR Check Center Entry-Quick Entry.
The GL is can be updated with the CR Reconciliation Center Entry function during the reconciling process. See related online help.

Check

Creates a credit. Check transaction types are checks that have been issued by your company for payment of a liability.

In CR Check Center Entry-Quick Entry, when you enter a Check transaction, the Current Balance, Last Check Date, and Last #s Used fields are updated in CR Bank Setup.

If a check or ACH payment was created by the Vendor Entry Check Print Report, Check Reconciliation is automatically updated.

Charge

Creates a credit. Enter a Charge transaction when the bank charges you for an overdraft, transfer fee, or any other service charge.

In CR Check Center Entry-Quick Entry, when you enter a Charge transaction, the Current Balance and Last #s Used fields are updated in CR Bank Setup.

Adjustment

Can create a credit or debit. Make adjustments, either positive or negative, to correct the Current Balance value in CR Bank Setup. You seldom use an adjustment transaction type. The best method for making corrections is to reverse the original, erroneously posted transaction.

In CR Check Center Entry-Quick Entry, when you enter an Adjustment transaction, the Current Balance and Last Adjustment # Used fields in CR Bank Setup.

Deposit

Creates a debit. Enter a deposit transaction for all deposits that were made but not posted in Customer Cash Receipts Entry.

Options in SA Administration Options-Financials-Check Reconciliation affect deposits:
  • If the option, Interface to Check Reconciliation from Cash Receipts, is selected, Customer Cash Receipt Entry directly creates deposit transactions in Check Reconciliation.
  • If the option, Interface to Check Reconciliation from Sales Order Entry, is selected, Sales Order Entry directly creates deposit transactions in Check Reconciliation.

Interest

Creates a debit. Typically, you should post interest transactions upon receipt of your bank statement. For interest-bearing accounts, typically you should report interest quarterly.

In CR Check Center Entry-Quick Entry, when you enter a Deposit transaction, the Current Balance is increased and the Last Deposit # Used is increased by one in CR Bank Setup.

Void

Creates a debit. Void transaction types account for a check that was started or written, but then cancelled, deleted, or not sent. Enter all voided checks in CR Check Center Entry-Quick Entry or CR Reconciliation Center Entry as Void transaction types.

You can only apply Void transactions to existing check transactions that have not been cleared or previously voided. The one exception to this rule is when voiding a $0.00 check that was created in Vendor Entry Check Print Report. The Vendor Entry Check Print Report automatically puts $0.00 checks in void. However, you can still reverse the check in the CR Check Center Entry-Quick Entry or CR Reconciliation Center Entry to reactivate the invoices and credits. The post date of the Void transaction must be greater than the post date of the original transaction. If you void a check that was created in Vendor Entry Check Print Report, select either the Accounts Payable or General Ledger module code from the Source field.

Void check transactions are the only instances in which Check Reconciliation can update other modules. When you enter a Void transaction, the Current Balance in CR Bank Setup is increased. If you reverse Accounts Payable entries, the Vendor Balance in Vendor Setup is increased. If you void a manual payment entered in Vendor Invoice Center Entry, no change is made to the vendor's Current Balance. Any invoices and scheduled payments that were inactivated by the original check are reactivated.

If you reverse General Ledger entries, the General Ledger Cash account is increased [debited], and the AP Control account is decreased [credited]. Voiding a check for foreign currency updates General Ledger using the currency exchange rate in effect when the original item was posted.

The Vendor Invoice Center Entry entries are activated, but the floor plan transactions are not activated and are not displayed on the Vendor Entry Payment Action Report.

Transfer In/Out

Creates a debit. Transfer In/Out transaction types involve transferring funds from one GL account to another. An offsetting transaction is required.

In CR Check Center Entry-Quick Entry, when you enter a transfer transaction, the Current Balance in CR Bank Setup and increases the Last Transfer In # by one for the receiving bank. The Current Balance amount in CR Bank Setup is decreased and the Last Transfer Out # is increased by one for the originating bank.