Chapter 7. Banner Introduction Menu Navigation Tables Automated Clearing House Forms

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A

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Banner Introduction

. . . 7-3

7 Automated Clearing House

Standards

. . . 7-3 National Automated Clearing House Association Standards . . . 7-3 Canadian Payment Association Standards . . . 7-4

Menu Navigation Tables

. . . 7-4

Automated Clearing House Forms

. . . 7-5 Finance User Profile Form . . . (FOMPROF) . . . 7-5 Batch Check Print Form . . . (FAABATC) . . . 7-6 Invoice/Credit Memo Form . . . (FAAINVE) . . . 7-9 Bank Code Rule Form . . . (GXRBANK) . . . 7-9 Bank Code Query Form . . . (GXIBANK). . . 7-13 Bank Routing Number Validation Form . . . (GXVDIRD) . . . 7-14 Direct Deposit Recipient Form . . . (GXADIRD) . . . 7-15

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7 Automated Clearing House

Table of Contents

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Banner Introduction

The Banner Automated Clearing House (ACH) module enables you to make payments to vendors, students, and employees using direct deposit transactions rather than conventional checks. This functionality works in conjunction with Banner’s check processing feature, giving you a choice in payment options. The Automated Clearing House application can be used with the Finance product (for payments to vendors); with the Human Resources product (for payroll processing); and with the Accounts Receivable product, in conjunction with the Finance product, for the payment of refunds. (For information about using ACH to process student refunds, see Chapter 3 in the Accounts Receivable User Guide).

Banner provides the capability of producing checks, direct deposit payments, or both. For details on how this application works, and the steps involved in producing payments, see Chapter 3, Processing.

Automated Clearing House

A clearing house is a large financial institution that the Federal Deposit Insurance Corporation (FDIC) has licensed for transferring funds between banks, and other clearing houses. The clearing houses form an electronic network across the country, ensuring that financial transactions pass securely and efficiently. The network communicates using standard record formats, which are created by the National Automated Clearing House Association (NACHA).

In order for a clearing house to pass funds from one place to another, it needs to know who is making the payments by direct deposit (i.e., your institution), and who will receive the payment. In ACH terms, since you are making the payment from your bank account, you are the originator. The clearing house needs to know who your bank is, so the funds can be withdrawn from your account. Your bank is known as the immediate origin. From there, the funds can move to the clearing house, also known as the immediate destination. Lastly, the clearing house needs information on the recipient, the party who will receive the payment. You must identify the

recipient’s name and their bank information. When you create direct deposit payments in Banner, the system will create a direct deposit file, which will contain all the information the clearing house will need to transfer the funds. You can then send the direct deposit file to your bank for processing. Banner provides a

Remittance Advice feature, which enables you to print advices for the direct deposit payments.

Standards

National Automated Clearing House Association Standards

For institutions operating in the United States, Banner formats records to the standards of the National Automated Clearing House Association (NACHA) for

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Menu Navigation Tables

Direct Deposit Header Label record, the Company/Batch Header record, and the File Header record. The Banner Automated Clearing House module conforms to these standards. Banner uses the CTX format, for corporate vendors, and the PPD format, for payments to individuals/students/employees/non-corporate vendors. For a copy of the NACHA standards, please contact the National Automated Clearing House Association (NACHA), 607 Herndon Parkway, Suite 200, Herndon, VA 20170.

Canadian Payment Association Standards

For institutions operating in Canada, Banner formats records to the standards of the Canadian Payment Association (CPA). Banner uses the CPA-005 credit file format, with a transaction code of “450” for all recipients of payments from the Banner Finance product. For a copy of the CPA standards, please contact your local bank.

Menu Navigation Tables

If you know the seven-letter name of the form you want to access, you may use Direct Access to bypass the intervening menus. To use Direct Access at any menu, enter the seven-letter name of the form you want at the Direct Access prompt. Instructions for accessing menus are in Chapter 2, Using Banner.

Access this menu from the Finance Operations Menu (*FINOPER).

FOMPROF Finance User Profile Form

Used to establish fund/organizational security for users by user ID.

Access this menu from the Finance System Menu (*FINANCE).

FAABATC Batch Check Print Form

Enables you to enter parameters for the payment process, and then to initiate the processes that will make payments via check or direct deposit.

Access this menu from the Accounts Payable System Menu (*FINAP).

FAAINVE Invoice/Credit Memo Form

Enables you to create invoice documents.

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Automated Clearing House Forms

This section provides you with examples and descriptions for each form within the Automated Clearing House module.

Forms in this section flow in the order that they appear on the following menus: • Financial System Security Menu (*FINSECR)

• Accounts Payable System Menu (*FINAP)

• Invoice/Credit Memo Processing Menu (*FININVS) • Banking and Currency Menu (*GENCURR)

Each form contains a description, instructions on how to use the form, essential field information, and a navigational guide.

For more detailed information on how to use these forms, refer to Chapter 3,

Processing.

Finance User Profile Form (FOMPROF)

This form is used to establish fund/organizational security for users by user ID. After you associate the user name with the user ID, you can associate other security

GXRBANK Bank Code Rule Form

Enables you to create bank code records for your institution’s bank accounts, and to link bank funds and bank accounts with your cash accounts.

GXIBANK Bank Code Query Form

Displays historical information for the bank code records.

GXVDIRD Bank Routing Number Validation Form

Used to enter and validate bank routing information stored in Banner’s databases.

GXADIRD Direct Deposit Recipient Form

Used to identify the recipient or entity that will be receiving payments via direct deposit.

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Automated Clearing House Forms

options, including: Chart of Accounts, Master Fund, and Automated Clearing House options.

If you are using the direct deposit feature, you will need to determine which of your system users can have access to the fields which affect direct deposit operations. Select the ACH Override check box if you want the user to be able to use the ACH override feature, which will stop an invoice from being paid via direct deposit. Instead, the payment will be made by check.

Batch Check Print Form (FAABATC)

The Batch Check Print Form enables you to enter parameters for the payment process, and then initiate the processes that will make payments via check or direct deposit. You will select the bank to be used, and the mode of payment (Check, Direct Deposit, or both).

Note: Check runs can be restarted, but not direct deposit runs. You can restart Check runs if you are processing by "Check", or by "Direct Deposit & Check".

Warning: If your process is incomplete, SCT recommends that you finish the com-plete payment process before you attempt to restart a Check run or a Direct Deposit & Check run.

. . . Fields . . . .Descriptions / Buttons

Bank Enter the 2-digit bank code for the bank from which you will issue the payments. Bank codes are maintained using the Bank Code Rule Form (GXRBANK).

The bank’s name will appear in a description field.

Check Click to pay by check only.

Direct Deposit Click to pay by direct deposit only.

Direct Deposit & Check

Click to pay by direct deposit and checks.

Paying by Check If you will be printing checks, then you must enter the processing date for the checks, along with the Starting Check Number. If you need to rerun checks, then you need to enter the last Good Check Number from the run, and a Restart Check Number.

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Check Date This is the date assigned to the direct deposit payment. The system defaults the current date, but you can enter a different date. This is a required field.

Starting Check Number

Enter the check number with which the sequence of checks will be initiated. Enter an alphabetical character in the first position of this field and numbers for the remaining seven positions. This is a required field.

Last Good Check Number

This is the number of the last good check prior to a restart. This field is prompted if you perform a restart.

Restart Check Number

The check number at which the sequence of checks will be restarted. This field is prompted if you perform a restart.

Print Test Pattern Check this box to print a test pattern to align your check stock. You may print any number of test patterns until the check stock is aligned properly. Uncheck this box and click or select SAVE once the stock is aligned properly.

Print Check Check this box after the checks are aligned. The system will navigate you through a series of processes involved in check printing.

Perform Accounting

After the checks have been printed and verified, you need to create cash disbursements for these payments. When you check the Perform Accounting box, Banner will create new cash disbursements. These transaction can then be reviewed, and posted.

Click or select SAVE to begin the Batch Check Processing process. You will automatically be transferred to the Process Submission Control form (GJAPCTL).

Paying by Direct Deposit

Direct Deposit Number

This is a system generated number which will be one greater than the last direct deposit number in the FABCHKS table.

Direct Deposit Date

This is the date assigned to the direct deposit payment. The system defaults the current date, but you can enter a different date.

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Print Direct Deposit Advice

Check to print remittance advices for direct deposit payments.

Create Direct Deposit File

Check this field if you want to create a file of the direct deposit transactions. This file will need to be sent to your bank/clearing house for processing.

Perform Accounting

After the direct deposits have been created and verified, you need to create accounting transactions for these payments. When you check the Perform Accounting box, Banner will create new accounting (cash disbursement) transactions. These transactions can be reviewed, and then posted.

Paying by Check and Direct Deposit. Check Date

This is the date assigned to the direct deposit payments and checks. The system defaults the current date, but you can enter a different date. This is a required field.

Starting Check Number

Enter the check number with which the sequence of checks will be initiated. Enter an alphabetical character in the first position of this field and numbers for the remaining seven positions. This is a required field.

Last Good Check Number

This is the number of the last good check prior to a restart. This field is prompted if you perform a restart.

Restart Check Number

The check number at which the sequence of checks will be restarted. This field is prompted if you perform a restart.

Print Test Pattern Check this box to print a test pattern to align your check stock. You may print any number of test patterns until the check stock is aligned properly. Uncheck this box and click or select SAVE once the stock is aligned properly.

Print Check and Direct Deposit File

Check this box after the checks are aligned, and if you want to create a file of the direct deposit transactions. The direct deposit file will need to be sent to your bank/clearing house for processing. The system will then navigate you through a series of processes involved in check printing.

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Invoice/Credit Memo Form (FAAINVE)

This form will be modified to have two check boxes in FABINVH block. One check box will display the Vendor Direct Deposit status of the vendor (or Check Vendor if there is one) by selecting from XAARACH table.

If the Vendor’s ACH Status is Active, the other check box which will be labeled Direct Deposit Override will be made navigable, so that the user can check it to override the Active status. If the Active Status is overridden,

fabinvh_ach_over_ride is populated with a ‘Y’. Detailed specifications for this

enhancement are available.

Bank Code Rule Form (GXRBANK)

This form enables you to create bank code records for your institution’s bank accounts. You can also link bank funds, and bank accounts, with your cash accounts.

Note: This form replaces the Finance Bank Code Maintenance Form (FTMBANK).

Before direct deposit can transfer funds from your bank to another bank, you must create a bank code record (in the Direct Deposit Rules window) for each account that you may withdraw funds from. This information will be included in the Direct Deposit Header Label record, the Company/Batch Header record, and the Header record for the file sent to the clearing house.

Perform Accounting

After the checks have been printed and verified, you need to create cash disbursements for these payments. When you check the Perform Accounting box, Banner will create new cash disbursements. These transaction can be reviewed, and then posted.

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Main Window

Active Status The Active Status check box indicates if the bank is active (selected) or inactive (cleared).

Last Activity The Last Activity field indicates the date when the bank code record was last updated.

Bank The Bank field is a two-character, user-defined field which you may use to identify a bank in Banner. Click the Search icon to call a list of values for the existing bank codes. You can then select a bank code and return to the GXRBANK form.

(button) List Bank Code List (GXVBANK)

Name The Name field defines the name you want to be associated with this bank code, up to a maximum of 35 alpha-numeric

characters.

Effective Date The Effective Date field is the date the bank code record is effective, or valid for use.

Termination Date

The Termination Date field indicates when a bank code record is no longer valid. It could be a date that has already occurred, or a date that will occur in the future. If you want a bank code to be valid only for a certain length of time, you can enter an Effective Date (when you can start using the bank code), and a

Termination Date (when the bank code can no longer be used).

Next Change Date

The Next Change Date field is the date when the record was most recently modified. The next change date indicates that a record has been updated. This allows you to create a series of records for one bank code, based on dates.

Base Currency The Base Currency field is the currency code, which identifies the type of currency which would normally be associated with this account. For example: USD for United States Dollars.

(lookup) List Currency Code Validation Form (GTVCURR)

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Bank ID The Bank ID field is the identification number for the bank, as defined by SPRIDEN. This is a nine-character field.

(button) List Non-Person Search Form (SOACOMP)

Note: When you save a bank code, Banner creates an identification record in the Identification table (SPRIDEN) for the bank ID and the bank name. You can not modify the bank ID number if it already exists in the Identification table. Use the Identification Form (FOAIDEN) to update existing bank names.

Bank Account Number

The Bank Account Number field is the actual, unique bank account number for this record.

Note: If you have multiple accounts at one bank, then separate bank codes need to be created for each account.

Chart of Accounts

The Chart of Accounts field is the aggregation of FOAPAL elements (fund, organization, account, program, activity, and program) in Banner which is developed to uniquely reflect the organization's structure and to enable financial reporting. All FOAPAL elements in Banner must be linked to a specific Chart of Accounts.

(lookup) List Chart of Accounts List Form (FTVCOAS)

Bank Fund The Bank Fund field indicates the account that represents the accumulation (or total) of all your cash accounts within your Chart of Accounts. The description of the fund account will also be displayed.

(lookup) List Fund Code Validation Form (FTVFUND)

Cash Account The Cash Account field is the account defined for your cash transactions within your Chart of Accounts.

(lookup) List Account Code Validation Form (FTVACCT)

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Direct Deposit Rules Window

Immediate Destination Information – The Immediate Destination is the Clearing House, that will receive the Direct Deposit File from the Immediate Origin (your bank). This information is available through your bank or clearing house.

Interfund Account

The account number you want identified as your interfund account. The interfund account acts as a intermediate account, which can hold money temporarily before that money would be sent on to the final destination accounts.

(lookup) List Account Code Validation Form (FTVACCT)

Note: If your site has Banner Finance installed, the Chart of Accounts, Bank Fund, Cash Account, and Interfund Account fields will be active and navigable. You must enter these fields if the bank code will be used with the Banner Finance product. If you do not have Banner Finance installed, then these fields will not be active and navigable.

ACH Status The check box is used to indicate if a bank account can have funds withdrawn and sent to the payee via direct deposit. A selected check box indicates that the bank is active, and a cleared check box indicates that the bank is not active.

Destination ID This is the identification number of the clearing house which will receive the funds being sent via direct deposit.

Destination Name

This is the name of the clearing house which will receive the funds being sent via direct deposit.

Immediate Origin Information

The bank where you send the direct deposit file.

Origin ID This is the identification number of the bank where you send the direct deposit file.

Origin Name This is the name of the bank where you send the direct deposit file.

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Bank Code Query Form (GXIBANK)

This form retains and displays historical information for the bank code records. When you run this form, it will display the bank code records by Chart of Account, and bank code. This form allows you to scroll through the available records.

Note: This form replaces the Finance Bank Code Validation Form (FTVBANK).

Short Name The direct deposit file only allows for names with a maximum length of sixteen characters. This field allows you to either create a sixteen character name for the immediate origin bank, or the field will default to the first 16 characters of the origin name.

Originating Information

This refers to information the clearing house needs to know about your institution.

Originating Bank Routing Number

This is the routing number for the account from which direct deposit disbursements will be deducted.

Organization ID Number

This field will capture your institution’s identification number for direct deposit processing. Your institution’s identification number can be your IRS employer ID number, or your Data Universal Systems (DUS) number, or you can create your own number.

IRS Employer ID Click on this option if you are using your employer identification number supplied by the Internal Revenue Service (IRS).

Data Universal Systems

Click on this option if you are using your DUS identification number.

User Assigned Click on this option if you are using your own unique identification number here.

COA This is a valid Chart of Accounts code, used within Banner. This field displays in alphanumeric sorting sequence (0 – 9, A – Z).

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Bank Routing Number Validation Form (GXVDIRD)

This form is used to enter and validate bank routing information stored in Banner. When the Bank Routing Number Validation Form is run it will display on a scrolling screen, all the bank routing numbers available, along with the name of the bank and the activity date.

If you will be making payments by direct deposit, then you must first enter bank routing information here, which will then be used when creating a direct deposit recipient record. The direct deposit recipient record is created using the Direct Deposit Recipient Form (GXADIRD). A direct deposit recipient record cannot be created without the proper bank routing information.

Bank Code This is a two-character, user-defined field, which you may use to identify a bank in Banner. This field displays in alphanumeric sorting sequence (0 – 9, A – Z).

Account Name The name of the bank or institution associated with this

particular bank code. This field has a query length of thirty-five characters, with a display length of 20 characters.

Status This field indicates the status of this bank code record, either "A" for Active or "I" for Inactive.

Effective Date This is the date when this bank code record is effective, or valid for use.

Termination Date

The termination date indicates when a bank code record is no longer valid. It could be a date that has already occurred, or a date that will occur in the future. If you want a bank code to be valid only for a certain length of time, you can enter an effective date (when you can start using the bank code), and a termination date (when the bank code can no longer be used).

Bank Routing Number

This is the routing number for the recipient’s bank, which is needed to send funds to the recipient’s bank via Direct Deposit. This seventeen character field displays records by alphanumeric sorting sequence (0 – 9, A – Z).

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Direct Deposit Recipient Form (GXADIRD)

This form is used to identify the recipient, or the entity that will be receiving payments via direct deposit. This form specifies the bank and bank account where the recipient has requested money be deposited. This information will create the detail records in the direct deposit file that is sent to the bank/clearing house. Access privileges to various fields on this form depend on the Banner products you are permitted to access. Certain fields can be accessed or seen by a Human Resources user only (defined on the User Codes Rule Form, PTRUSER). Other fields can be accessed by an Accounts Payable user only (defined on the TBBUPRF or FOBPROF table). This means the same bank record can be used differently by Human Resources and Accounts Payable users. If a user can access both products, the user can access all fields.

Bank routing information must first be entered using the Bank Routing Number Validation Form (GXVDIRD).

For Accounts Payable disbursements to vendors: The form enables you to make a vendor eligible for direct deposit payments. Information that is entered on this form will be stored in the Recipient Direct Deposit Table (GXRDIRD). A vendor may have multiple bank accounts for payments of different invoices. This form allows you to create multiple addresses for these different payments.

Bank Name This field contains the name of the bank associated with the routing number. This field has a maximum of 35 alpha-numeric characters.

Activity Date This is the date when the bank routing record was created or last updated.

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ID Enter the identification number of the recipient. Banner will verify the number and will display the recipient’s name in the adjoining field. If you do not know a recipient’s number, you can search for a recipient using the Search icon. The Search icon will allow you to search for a ‘person’ (using List for Person - SOAIDEN) or for a ‘non-person’ (using Non Person Search - SOACOMP).

(button) List List for Person Form (SOAIDEN) or Non-Person Search Form (SOACOMP)

Bank Routing This is the routing number for the recipient’s bank, which is needed to send funds to the recipient’s bank via direct deposit.

(lookup) List Bank Routing Number Validation Form (GXVDIRD)

Note: Bank routing information must first be entered using the Bank Routing Number Validation Form

(GXVDIRD).

Address Type This is the address type that the bank account is associated with. If you leave this field null (blank), the account information will be assumed valid for all unspecified address types.

(lookup) List Address Summary Form (SOADDRQ)

Note: The Address Type and Address Seq fields are only navigable if your site has BANNER Finance installed, and if the user has appropriate security access.

Address Seq (Sequence)

This is the sequence number associated with the Address Type. If you leave the Address Type null, then no Address Seq will be allowed. This field is required only if the Address Type is not null.

Note: The Address Type and Address Seq fields are only navigable if your site has BANNER Finance installed, and if you have appropriate access to these fields.

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Enterprise Indicator: A/P

Check this box if the recipient is eligible for Accounts Payable disbursements.

Note: Access to this field is restricted by Banner products and user access. The A/P box can be accessed only by users of Banner Finance.

Enterprise Indicator: PAYROLL

Check this box if the recipient is eligible for Payroll disbursements.

Note: Access to this field is restricted by Banner products and user access. The HR box can be accessed only by users of Banner Human Resources. In the case of users of both Finance and Human Resources, they can access both fields if they have the appropriate user access.

Number This is the recipient’s bank account, which will receive disbursements via direct deposit.

Status This is the recipient’s direct deposit status. Valid entries are: Prenote, Active, and Inactive.

If the Direct Deposit Status is Active, payment will be received via Direct Deposit.

If the Status is Prenote, a prenotification, or test record will be created. While the record retains a Prenote status, payments will be made by check.

If the Direct Deposit Status is Inactive, no Direct Deposit processing will take place. Payments made to Inactive accounts will occur through regular check processing.

Type These are radio buttons for the type of bank account, you can select Checking or Savings.

Priority This is a user defined priority code for the sequence in which processing/disbursement will occur. Valid priorities are 1 to 99. Items with a Priority of 1 will process before a Priority of 2. This field applies only to Payroll.

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List of Automated Clearing House Reports and Processes

List of Automated Clearing House Reports and Processes

The following reports and process contain information that is maintained within the Automated Clearing House module.

Refer to Chapter 26, ReportsandProcesses, for descriptions, parameter listings, and sample output. Automated Clearing House uses the following reports and processes: • Batch Check Accounting Process (FABCHKA)

• Batch Check Register Process (FABCHKR) • Batch Check Process (FABCHKS)

• Batch Direct Deposit Advice Print Process (FARDIRD) • Canadian Direct Deposit File Creation Process (FAPCDIR) • Check Print Process (FABCHKP)

• Direct Deposit File Creation Process (FAPDIRD) • Direct Deposit Remittance Advice

• Direct Deposit Transmittal Register Process (FAPTREG) • Direct Deposit Transmittal Register

Amount These fields allow you to disburse funds by dollar amount (using the Amount field), or by entering a percentage (using the

Percent field), and letting Banner perform the percent dollar calculations. You can not enter both fields. This field applies only to Payroll.