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Auto Draft Pre-Approved Payments

This Help File Page was last Modified on 05/14/2017

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Auto Draft Pre-Approved Payments

This Help File Page was last Modified on 05/14/2017

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Auto Draft Pre-Approved Payments

This Help File Page was last Modified on 05/14/2017

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Getting Paid by your Subscribers by accepting their Electronic Funds Transfers and Pre-Approved Credit Card Payments is a convenient and secure process for both your Subscribers and for your Company.

Your Subscriber's Payment will arrive on time - avoiding a processing expense for them and assuring a timely payment to you.

The implementation of these Payment Methods requires specific information for each Auto Draft.

The Post Auto Drafts Form is used to Automatically Draft those Electronic Funds Transfers and Pre-Approved Credit Card Payments.

 

The automatic collection via Electronic Funds Transfer and by Pre-Approved Credit Card Payments is a convenient and secure method for getting paid for Recurring Revenue Invoices that are owed by your Company's (and Dealer's) Subscribers.

To implement this automatic electronic collection/payment feature, follow the steps outlined below:

The Auto Draft information must be entered (in advance) into the Auto Draft Setup section in the Edit View of the Subscribers Form.

 

HelpFilesAutoDraftCreditCard

Auto Draft section's's Draft Credit Card tab

 

Then, the Invoices for the associated Recurring Revenue are generated.

 

HelpFilesAutoBillingCreditCardsProcedure

Auto Billing dialog

 

The Recurring Revenue Invoices created with the Auto Billing procedure may then be analyzed for accuracy based on the predefined Auto Draft information by using the Auto Draft Pre Processing Form.

 

HelpFilesAutoDraftPreProcessing

Auto Draft Pre Processing Form - Validate predefined Auto Draft rules

 

Once the Auto Draft information is entered, the Recurring Revenue Invoices are generated, and those Invoices are validated using the Auto Draft Pre Processing Form: the Auto Draft Pre-Approved Payments process will create the export file which is transmitted to, and used by the Bank or Credit Card Processor to charge each (predefined) Subscriber's Account for the appropriate Auto Draft Amount.

 

HelpFilesPostAutoDrafts

Post Auto Drafts for Electronic Funds Transfer

 

Here is a step by step Outline of the Auto Draft Setup and the actual Auto Draft procedure:

1.Open the Subscribers Form and locate the required Subscriber record using the Subscriber Search function.

2.Select the Edit View of that Subscribers Form

3.Select the Auto Draft Setup option which directs you to the Auto Draft Setup section in the Edit View of the Subscribers Form

4.Choose the Draft Credit Card or the Draft Bank Information tab.

5.Enter the appropriate information as required (based on whether it will be an Bank (EFT), or Credit Card payment).

6.Bill Recurring Revenue for the appropriate Cycle(s) for these pre-approved Bank (EFT), or Credit Card payments

7.Run the Post Auto Drafts procedure  

8.If prompted, Re-Name and Save the Auto Draft File.

 

HelpFilesSaveAutoDraftFile

 

9.Print a Cash Receipts Report for the designated Date and Batch Number  

10.If you use a Multi-Processor Service Provider who can process both Pre-Approved Credit Card Payments and Electronic Funds Transfer within the same file, be sure to create a Recurring Billing Cycle for this Subscriber Group.

 

Note #1: Another choice is to post Pre-Approved Credit Card Payments automatically to the Accounts Receivable System, but manually submit those charges via a Credit Card Terminal device.

 

Note #2: If certain critical information is missing for the Bank selected to received these Auto Draft funds and the designated EFT File Type, an Invalid Criteria Message will be displayed.

HelpFilesPostAutoDraftsMissingFileInfoMessage

Warning - Missing Files Generation Information!

 

a)Unless you want to the Post Auto Draft Transactions without creating the corresponding EFT file, Click No.

 

HelpFilesAutoDraftAbortedMessage

 

b)Also,when there are Open Invoices which do not match the Auto Draft Setup information, a Warning Message will be displayed with the option to view theses Invoices.

c)In either case, if appropriate, go to the Bank Maintenance Form for the Bank selected above and make the appropriate corrections on that Form's EFT Section on the Bank Maintenance Form, and/or correct the Auto Draft Setup information.

d)Then, return to this Post Auto Draft Form and proceed as normal.

 

Note #3: However, when the Post Auto Drafts process is executed, if the ValidateAutoDraft option in the Company Settings dialog is set to True ("T"), the Auto Draft Validation Process will check for the presence of certain Bank and Credit Card information entered in the Auto Draft Setup Form for each Subscriber.

See the Auto Draft Validation Process chapter for more information.

 

Understanding the Post Auto Drafts Options:

To open the Post Auto Drafts Form:

a)From the Backstage Menu System Select File and Choose Receivable and Select the Post Auto Drafts option, or

b)From the Quick Access Menu, Select File and Choose Receivable and Select the Post Auto Drafts option, or

c)On the Receivables Tab, Click the Auto Draft Icon

 

HelpFilesPostAutoDrafts

Post Auto Drafts Form

 

Period To Post - Define what Recurring Billing Period is being processed for Pre-Authorized Auto Drafts.

Year - Use the Drop-Down Selection List to Choose the Year that is being processed for Pre-Authorized Auto Drafts.

 

HelpFilesPostAutoDraftWrongYearMessage

 

A Year Selection message will be displayed if you Choose a Year that is not within the current Year.

Answer Yes to Confirm that this is what you wanted to do, or No to be able to reset the Year correctly.

Month - Use the Drop-Down Selection List  to Choose the Month that is being processed for Pre-Authorized Auto Drafts.

Cycle - If the Multiple Billing Cycles feature has been implemented, use the Drop-Down Selection List to Choose the Recurring Billing Cycle that is being processed for Pre-Authorized Auto Drafts.

 

Batch No. - By default, it will be the calendar number of Today. Change this Batch Number, as needed.

Batch Numbers may be assigned from 1 to 32637 (this limitation is a function of the field type into which you are entering this Batch Number).

You may start a new numbering sequence each month (using the current Date's Day number), so the same Batch Number will be used in multiple Months but the date will be different.

In some cases, you may use the same Batch Number for more than one day to group certain of these types of payments together.

You may use multiple Batch Numbers within the same day to separate Credit Card transactions from Cash Receipts, and to separate those Receipts from EFT funds.

You may start from 1 and increment the Batch Number perpetually (if you used 2 batch numbers for two deposits every day, 5 days a week, it would take over 60 years to use all of the numbers).

The down side of the second method is that you must keep track of the next number to be used.

MKMS automatically records Receipts in an individual Month & Year group to keep them differentiated.

 

Bank - The correct Bank Name will be automatically inserted based on the Bank assigned to the selected Recurring Billing Cycle.

Pay Date - Use the Drop-Down Calendar/Date Selection Box  to Choose the Date these Invoices will be marked as Paid within the Accounts Receivable System.

This Pay Date should be on or after the Draft Date entered next.

Draft Date - Use the Drop-Down Calendar/Date Selection Box to Choose the Date that these Amounts will be Withdrawn (Drafted) from the Subscriber's Bank account, and/or Charged to their Credit Card.

Generate EFT File - If you will need an EFT file generated, Click this Generate EFT File? box.

File Type - If the Generate EFT File option was Checked, use the Drop-Down Selection List with the list Slide Bar  to locate, and then Choose, the appropriate File Format for the EFT system you are using.

This list of EFT File options is updated periodically to accommodate additional processors.  See the Authorize.Net chapter for additional information.

 

HelpFilesEFTFileTypes

HelpFilesEFTFileTypes2

 EFT File Types

 

Based on the EFT File option that is selected, some additional (but usually not all of these) options may (or may not) be presented.

 

HelpFilesPostAutoDraftsOptions

 

Entry Desc - For Wells Fargo (this option requires the use of the Slide Bar - see mouse pointer in EFT File Types illustration above -  it is located just below Standard) or NACHA, enter a brief Description of the purpose for these Charges.

Append Julian Date? - This option is only available if the Standard EFT format is selected.

Post Credit Cards? - Except for CPA EFT (Canada), if this Auto Draft process posts both EFT Cash Deductions and Credit Card Charges, Check this box.

Credit Card Batch No. - If required, this field will be activated and will become a mandatory entry.

oUse separate batch number for Credit Cards? - Click Yes and enter the desired Batch Number below.

 

HelpFilesSeparateBatchForCC

 

Credit Card Batch No. - By default it will also be the calendar number of Today.  Enter the desired Batch Number, as appropriate.

 

Last Period Posted - The Year, Month and Billing Cycle for the most recent Auto Draft is displayed here.

Click Run to start the process.

 

For General Ledger System Users:

a)When the Funds are received from each Subscriber, each Auto Draft Amount will be Credited (subtracted from) the Accounts Receivable Asset Account and Debited (added to) the associated Asset Account of the selected Bank

b)Because these Funds are Deposited Directly into the selected Bank, no Undeposited Funds Account Transactions are required.

 

Pre-Approved Electronic Funds Transfer Procedure

Open the Post Auto Drafts Form.

Period To Post - Define what Recurring Billing Period is being processed for Pre-Authorized Auto Drafts.

Year - Use the Drop-Down Selection List  to Choose the Year that is being processed for Pre-Authorized Auto Drafts.

 

HelpFilesPostAutoDraftWrongYearMessage

 

A Year Selection message will be displayed if you Choose a Year that is not within the current Year.

Answer Yes to Confirm that this is what you wanted to do, or No to be able to reset the Year correctly.

Month - Use the Drop-Down Selection List  to Choose the Month that is being processed for Pre-Authorized Auto Drafts.

Cycle - Choose the EFT Recurring Billing Cycle.

Batch No. - By default, it will be the calendar number of Today. Change this Batch Number, as needed. 

Bank  - The correct Bank name (which has the EFT information you should have defined) should be inserted automatically.

Pay Date - Use the Drop-Down Calendar/Date Selection Box to Choose the Date these Invoices will be marked as Paid within the Accounts Receivable System.

This Pay Date should be on or after the Draft Date entered next.

Draft Date - Use the Drop-Down Calendar/Date Selection Box to Choose the Date that these Amounts will be Withdrawn (Drafted) from the Subscriber's Bank.

Generate EFT File - If you will need an EFT file generated (and you do), Check Generate EFT File? box.

File Type - If the Generate EFT File option was Checked, use the Drop-Down Selection List with the list Slide Bar to locate, and then Choose, the appropriate File Format for the EFT system you are using.

Based on the selected File Type, additional options may be presented.

 

HelpFilesPostAutoDraftsEFTOptions

Check any of the other formatting boxes as may be required by your EFT Processor.

For Customers using the Canadian Payments Associations (CPA) option, be sure to select CPA EFT.

 

HelpFilesEFTFileTypes

EFT File Types

 

Click Run to start the process.

 

HelpFilesPostAutoDraftsForEFT

Post Auto Drafts for Electronic Funds Transfers

 

The EFT file to be transmitted is created automatically using the name you will be asked to specify.

You must send the file to the Bank (or their third party payments processor) using the format and transmittal method they require.

 

For General Ledger System Users:

a)When the Funds are received from each Subscriber, each Auto Draft Amount will be Credited (subtracted from) the Accounts Receivable Asset Account and Debited (added to) the associated Asset Account of the selected Bank

b)Because these Funds are Deposited Directly into the selected Bank, no Undeposited Funds Account Transactions are required.

 

 

Pre-Approved Credit Card Payments Procedure

Open the Post Auto Drafts Form.

Period To Post - Define what Recurring Billing Period is being processed for Pre-Authorized Auto Drafts.

Year - Use the Drop-Down Selection List to Choose the Year that is being processed for Pre-Authorized Auto Drafts.

 

HelpFilesPostAutoDraftWrongYearMessage

 

A Year Selection message will be displayed if you Choose a Year that is not within the current Year.

Answer Yes to Confirm that this is what you wanted to do, or No to be able to reset the Year correctly.

Month - Use the Drop-Down Selection List  to Choose the Month that is being processed for Pre-Authorized Auto Drafts.

Cycle - Choose the appropriate Credit Card Recurring Billing Cycle.

Batch No. - By default, it will be the calendar number of Today. Change this Batch Number, as needed. 

Bank  - The correct Bank name (which has the EFT information you should have defined) should be inserted automatically.

Pay Date - Use the Drop-Down Calendar/Date Selection Box  to Choose the Date these Invoices will be marked as Paid within the Accounts Receivable System.

This Pay Date should be on or after the Draft Date entered next.

Draft Date - Use the Drop-Down Calendar/Date Selection Box to Choose the Date that these Amounts will be charged to the Credit Card.

Generate EFT File - Check Generate EFT File? box.

File Type - Select the Standard File Type.

 

HelpFilesPostAutoDraftsCC

Post Auto Drafts for Credit Cards

 

Click Run to start the process.

The file to be transmitted is created automatically using the name you will be asked to specify..

You must send the file to the Bank (or their third party payments processor) using the transmittal method they require.

 

Pre-Approved Multi-Processor Payment Procedure

Open the Post Auto Drafts Form.

Period To Post - Define what Recurring Billing Period is being processed for Pre-Authorized Auto Drafts.

Year - Use the Drop-Down Selection List to Choose the Year that is being processed for Pre-Authorized Auto Drafts.

 

HelpFilesPostAutoDraftWrongYearMessage

 

A Year Selection message will be displayed if you Choose a Year that is not within the current Year.

Answer Yes to Confirm that this is what you wanted to do, or No to be able to reset the Year correctly.

Month - Use the Drop-Down Selection List  to Choose the Month that is being processed for Pre-Authorized Auto Drafts.

Choose the Multi-Processor Service Provider Recurring Billing Cycle.

Batch No. - By default, it will be the calendar number of Today. Change this Batch Number, as needed. 

 

Bank  - The correct Bank name (which has the EFT information you should have defined) should be inserted automatically.

Pay Date - Use the Drop-Down Calendar/Date Selection Box  to Choose the Date these Invoices will be marked as Paid within the Accounts Receivable System.

This Pay Date should be on or after the Draft Date entered next.

Draft Date - Use the Drop-Down Calendar/Date Selection Box  to Choose the Date these Invoices will be Paid and the Date these Amounts will be charged to the Credit Card.

Generate EFT File - Check the Generate EFT File? box.

Post Credit Cards? - Check the Post Credit Cards? box

File Type - Select the Appropriate File Type, as specified by your provider.

Set the Credit Card Batch Number

 

HelpFilesPostAutoDraftsMulti

 Post Auto Drafts for Both EFT & Credit Cards

 

Click Run to start the process.

The file to be transmitted is created automatically using the name you will be asked to specify.

You must send the file to the third party payments processor in the format and transmittal method they require.

 

For General Ledger System Users:

a)When the Funds are received from each Subscriber, each Auto Draft Amount will be Credited (subtracted from) the Accounts Receivable Asset Account and Debited (added to) the associated Asset Account of the selected Bank

b)Because these Funds are Deposited Directly into the selected Bank, no Undeposited Funds Account Transactions are required.