Processing Customer Credit Card Payments

Overview

There are three options of configuring and processing Customer Credit Card Payments.

1. Bank Reconciliation Option

   1. Create a Credit Card GL Account with the Bank/Credit Card Account field checked.

   2. Use a Prepaid Payment Term to record Customer Credit Card Payments in the Credit Card GL Account.

   3. Transfer the lump sum deposit amount from the Credit Card GL Account to an Operating Bank Account.

   4. Perform Bank Reconciliation on the Credit Card GL Account to reconcile Customer Credit Card Payments with the lump sum deposit amount.

   5. Perform end-of-month Bank Reconciliation on the Operating Bank Account.

2. Bank Deposit Option

   1. Create an Undeposited Cash Account for the Credit Card, ex. Undeposited Cash (PayPal).

   2. Use a Prepaid Payment Term to record Customer Credit Card Payments in the Undeposited Cash GL Account

   3. Use the Bank Deposit function to reconcile Customer Credit Card Payments and transfer the lump sum deposit amount from the Undeposited Cash Account to an Operating Bank Account.

   4. Perform end-of-month Bank Reconciliation on the Operating Bank Account only.

3. Direct Deposit Option

   1. If there are only a few Customer Credit Card Payments, you can choose to directly deposit Customer Credit Card Payments into the Operating Bank Account.

   2. Use a Prepaid Payment Term to record Customer Credit Card Payments in the Operating Bank Account.

   3. Perform end-of-month Bank Reconciliation on the Operating Bank Account only.

Setting up a Prepaid Payment Term

Create a Prepaid Payment Term. 

Check Bypass AR.

Enter the Credit Card GL Account, Undeposited GL Account, or the Operating Bank Account to the Account Undeposited Cash field. 

Posting Invoices Paid by a Credit Card

When a Sales Invoice is posted in GoldFinch that has the Prepaid Payment Term:

1. Debit will be posted to the Undeposited Cash Account (instead of the AR Account).

2. Credit will be posted to the Sales Account.