- Create a new Payment Code (e.g., “JTCK”, with “JOINT CHECK” in the description), selecting a Clearing account as the G/L Account. If this will happen often, you may want to add a G/L Account specific to this purpose; it must be set up as a Bank Account. After you have completed this process, the Account should have a zero balance.
- When the Joint Check is received from the Customer, post the payment to the Customer’s account in Post Customer Payments. Be sure to use the Payment Code mentioned above.
- In A/P Open Item Maintenance, add a Credit Memo on the Vendor’s account. (Since there is no actual credit memo number, use the Joint Check number; you may also wish to list the customer in the Reference field, which prints on the check stub.)
- In the G/L Distribution, use the same G/L Account tied to the Payment Code above.
- In the Payment Selection module, select the material A/P Invoice(s), as well as the Credit Memo you created in step three above.
- If the Joint Check pays the AP Invoice(s) in full, pay them with a zero-dollar electronic/debit/credit payment. If a balance remains, a check/debit/credit/electronic payment can be issued for the balance.
Customer Pays Vendor Through BMS -- Joint Check Processing
Customer Pays Vendor Through BMS -- Joint Check Processing This article covers the steps needed to process a payment from a Customer to a Vendor through BMS. This could be a Builder (Customer) paying a Vendor for material while you provide Labor, as just one example. Whether a one time situation or a recurring process in your system, follow the steps below to complete: