Accounts Payable > Process Electronic Payments for Vendors > Set Up Vendor Electronic Payment Parameters

Electronic funds transfer provides a safer, secure, efficient, and less-expensive-than-paper method of check payment to vendors. AccountMate supports the processing of vendor payments through an online payment system.

Prior to electronic processing of vendor check payments, you must set up direct deposit parameters by performing the steps below:

1.Access the Bank Account function from the Bank group under the Maintenance menu in the Accounts Payable module.

2.Enter in the Bank # field the bank account you want to use for vendor direct deposit. Alternatively, click the List box button to select from a list the bank number. Once a valid bank # is selected, the bank account details are displayed in their respective fields.

3.In the Information page, mark the Electronic Payment checkbox to activate the vendor direct deposit feature for the bank account. Once the checkbox is marked, the E-Payment Settings page is enabled.

4.In the E-Payment Settings page, perform the following:

4.1. In the Next E-Payment Check # field, enter the check number that AccountMate will assign to the next electronic payment check generated for this bank account. This field is mandatory if the Electronic Payment feature is activated and the Use in Accounts Payable checkbox is marked in the Information Page.

After you enter a number in this field, AccountMate automatically updates the number sequentially each time you print a check for electronic payment. If you edit this number later, the new number should be greater than the highest check number used, unless you are starting a new, lower sequence. AccountMate will not allow you to enter a check number that has already been used for this bank account.

4.2. In the E-Payment Check area, click the List Box button and choose one from the following check layout options you want to use whenever an electronic payment check is printed:

•Accounts Payable Deposit Advice

•Accounts Payable Deposit Advice with 2 Stubs

•Multi Purpose Deposit Advice

•Blank Deposit Advice

•Accounts Payable Middle Deposit Advice with 2 Stubs

•Accounts Payable Bottom Deposit Advice with 2 Stubs

4.3. In the Directory field, enter the location where you want AccountMate to store the direct deposit transmission file. Alternatively, click the Browse button to browse the desired directory. Ensure that the directory you choose is shared on the network so that it will be accessible from whichever workstation you will transmit or email the file.

4.4. Enter in the File Prefix field the code that will be the fixed portion of the ACH filename. This field accepts alphanumeric characters.

4.5. Enter in the Next Batch field the initial value of the sequence number that will be assigned to the ACH file. The value you enter will form the variable portion of the ACH filename and will be incremented each time you apply payroll/payment. This field accepts alphanumeric characters.

4.6. In the ACH Format field, enter the format you want to use when generating a direct deposit transmission file. Click the List box button to display all the available formats maintained in the system. Click the desired option to select.

To create a new ACH format that your bank branch requires, click the ACH Format underlined field label to directly display the ACH Format Maintenance function. Alternatively, you can also access the ACH Format Maintenance function from the Maintenance Menu.

4.7. Click the Save button to save your settings for activating the electronic payment feature for the selected bank account.

5.Access the Vendor Maintenance function; then, enter in the Vendor # field the code of the vendor for whom you want to activate electronic payment. Alternatively, click the List box button to select the vendor number from a list of existing vendor records. Once a valid vendor # is selected, the vendor details are displayed in their respective fields.

6.In the Vendor Maintenance function screen, access the Settings page; then, mark the Electronic Payment checkbox to enable the fields in the Electronic Payment area. To set up the parameters for depositing the vendor payments electronically, enter the appropriate values in the following fields:

oPrenote Status

To generate prenotes with which you can test your electronic payment transmission for this customer, click the List box button beside the Prenote Status field; then, select the Require Prenotification option.

Notes:

•The federal government requires that all bank accounts, which will receive electronic fund transfers, must be prenoted at least 10 business days prior to the actual transfer. If you fail to prenote a vendor's bank account prior to electronic fund transfer, the Electronic Fund Transfer Agency (EFTA) may reject the transfer and, in some cases, assess a fine.

•If you change the bank's account number, account type or routing number, the system will reset the prenote status to Require Prenotification and you must repeat the prenotification process.

oLast Prenote Date

Enter in this field the date when this customer record was last included in a prenote file. The system automatically updates the last prenote date on the vendor record when you include the vendor during a Generate Prenotes run.

oBank Name

Enter in this field the name of the bank to which the payment will be electronically deposited from the vendor.

oAccount Type

Click the List box button next to this field; then, select either the Checking or Savings account type.

oAccount #

Enter in this field the account number of the bank to which the payment will be electronically deposited from the vendor.

oBank Routing #

Enter in this field the routing and transit code that directs the electronic payments from the financial institution to which you will electronically send the payment to the vendor.

7.Click the Save button in the Vendor Maintenance function to save the settings for the vendor's electronic payments.

Set Up Vendor Electronic Payment Parameters

Set Up Vendor Electronic Payment Parameters

See Also