Electronic Funds Transfers (EFT) Overview

Use this feature to generate electronic funds transfers for use as an alternative to paper-based AP checks.

The following EFT file formats are currently available: Scotia Bank (SCPI5), Bank of Montreal (CPA005), BMO Harris (NACHA), Canadian Imperial Bank of Commerce (CIBC).  

Setup

1) To transmit successfully, the EFT transmit file requires the following information from the payee bank, which you specify via the Payables tab in the Vendor Remit-To Settings:

2) The EFT transmit file requires the following information from the payer bank, which you specify via the EFT and Positive Pay tab in the Bank Settings:

3) To indicate the GL account to credit for completed EFT payments within an EFT batch, use the

   When searching for an EFT GL account, the posting process references the following hierarchy and uses the first account it finds:

Select and Approve Bills for Payment Process

This process provides the option to create check runs or EFT payment batches. When creating EFT batches, you use the Create Electronic Funds Transfer File routine.  This routine creates the EFT file for transmission to the bank, in the format specified for that bank.  It also provides the ability to re-create the file for a previous EFT batch.  

In the Select and Approve Bills for Payment process, if you check the box at the Process Using Electronic Funds Transfer field on the Date For New Batch Window, you indicate an electronic funds transfer and the system pulls the necessary information from the Vendor Remit-To and Bank files. When you check the box at this field, the process references the following fields on the Third Party Processing tab in the Bank Settings:

 The following fields are required when using the Scotia Bank proprietary file format (SCPI5):

    - Vendor Remit-To: Financial Number, Transit Number, Account Number, and Next Payee Number

    - Bank: Payer Number, Transit Number, Account Number, and Next EFT Payment Number

The EFT feature does not support customer refunds.  Thus, the Customer Refund check box in the Payments to Include box is inactive for EFT transactions and the system excludes refund vendor (RFND) from EFT batches.

Create Electronic Funds Transfer File Routine

Once you select and approve bills for payment in the Select and Approve Bills for Payment Process, access the EFT Review tab to create an EFT batch. Then, click on Create EFT File button to access the Create Electronic Funds Transfer File routine.  This process creates the EFT file and downloads it to your PC.  Note that you can also access the Create Electronic Funds Transfer File routine from a menu.

Voiding EFT Batches and Payments

Use the Void EFT Batch to void a completed electronic funds transfer (EFT) batch and all its payments.  

The Void Payment process allows you to void a single EFT payment. When you void an EFT payment, the program

a) GL batch - debits the EFT GL account and credits the Accounts Payable account.  

b) EFT batch - credits the EFT GL account and debits the AP Cash account.

If you void all payments in an EFT batch, the program assigns a status of "VOI" to the EFT batch.