Making Vendor Payments with Direct Debits
In Vendor Payments, you create a vendor payment run to record the direct debit payments that your bank already made to pay vendors for AP vouchers.
Direct debits are electronic payments that your bank pays automatically at the request of your vendor. An example of this type of payment is a utility bill that is due every month. You give your bank permission to pay a certain vendor for the payments that the vendor requests from your bank. The payments are direct deposited to a vendor's bank account.
Prerequisites
The following sections identify the settings and data entry that you need to complete before you can process a direct debit payment run in .
Settings
The following are settings that you complete for banks, vendors, the vendor payment template, and automatic payment numbering.
| Location in Vantagepoint | Setting |
|---|---|
| For banks that you use to make direct debit payments to vendors: | |
| For vendor-type firms that will receive wire payments:
In the Wires and Direct Debits section of the Vendor tab: Enter the information for the vendor's bank that will receive the wire payments (bank ID, bank account ID, and so on). |
|
| On the Payments tab, the format that you select in the Printed Payment Format field and the template that you enter in the Template field control what the vendor payments look like when you print any type of vendor payment using the Print Payments or actions on the Payments grid on the Printing and Numbering page in Vendor Payments. The printed payments for direct debits have "NON-NEGOTIABLE" printed on them. The file copies have "COPY" printed on them. | |
| In the Bank Transactions section, you can specify that the payment transactions for a bank be automatically numbered and enter a starting number to use for the next payments that are processed. You specify whether the auto numbering applies for all types of payments or only electronic payments.
When auto numbering is not turned on, you assign a starting number for each bank's payments in a vendor payment run by clicking Assign Numbers on the Printing and Numbering page in Vendor Payments. |
AP Voucher Entry
When you enter AP vouchers in , if you want a voucher to be paid by a direct debit payment, you must select a bank for the voucher that has been set up to make direct debit payments, and the vendor for the voucher must be set up to receive direct debit payments. Refer to the settings in the table above.
Summary of Processing Direct Debit Payments
The following help topics provide instructions for processing all types of vendor payments in , including direct debit payments:
- Create a Vendor Payment Run (Set the Payment Type field to Direct Debit for a wire payment run.)
- Manually Select Vouchers to Pay in a Vendor Payment Run or Automatically Select Vouchers to Pay in Vendor Payment Run.
- Process a Vendor Payment Run After You Select Vouchers (print payments, assign payment numbers, print and/or email remittance advices, and print a file copy of each payment)
- Post a Vendor Payment Run