9.2 Processing Escheated Payments

Purpose: Use this document as a reference for how to Process Escheated Payments (Escheatments/unclaimed property) in Accounts Payable or Travel & Expenses in ctcLink.

Audience: Accounts Payable Staff

You must have at least one of these local college managed security roles:

  • ZZ Payment Processing

You must also set these User Preference Definitions:

If you need assistance with the above security roles or User Preference Definitions, please contact your local college supervisor or IT Admin to request role access.

This topic demonstrates how to process escheated payments. Occasionally, an organization issues a check to a vendor, but the vendor does not deposit it. Perhaps the vendor goes out of business. Whatever the reason, the check becomes stale-dated.

When users identify a check as stale-dated, it is informational only. When users decide to escheat a stale-dated check, they must return to the Payment Escheatment page and select Escheated instead of Stale-Dated Payment.

Stale-date should be done when a check is first selected to be worked. In order to escheat a check, the school must first make an effort to contact the person the check was written to. This usually happens sometime between 12-18 months from the date of the check. Stale-dating a check does not create any GL entries and is reversible.

Payables enables you to reclassify the stale-dated check to an escheat liability account by debiting cash and crediting escheatment liability. When users escheat payments, they enter an escheatment date. The system uses the date to control the accounting date for the escheatment entry.

Payment posting treats an escheated payment like a voided payment except that there is no option to close or restate the voucher liability.

Escheating happens when the check is going to be remitted to the state. So, first you escheat the check and second you create a new voucher for that payment to be sent to the state. The new voucher would be coded the same as the escheatment, but in reverse as it clears out this account. Escheating a check creates GL entries and is not reversible.

When you escheat a payment, you then select options to run just the Payment Posting process (AP_PSTPYMNT), or both the Payment Posting and Journal Generator process (FS_JGEN).

It is recommended to establish each user with the specific access associated with their job duties and is not recommended to simply copy one user's access to another user as this could lead to overallocation of access. However, there are situations where a group of staff within a single department all require the same access to perform similar work. In that case, the COPY function provides the ability to apply all Process Group definitions from one user to another without having to search and enter each Source Transaction and Process Group combination. 

Please refer to the QRG FSCM Security - Process Groups

Processing Escheatment Payments

Navigation: Accounts Payable > Payments > Cancel/Void Payments > Escheat Payment

  1. The Payment Escheated page displays. Enter the Bank SetID = WACTC.
  2. Enter or lookup the appropriate information into the Bank Code field.
  3. Enter or lookup the appropriate information into the Bank Account field. Example: enter "CHCK".
  4. Enter the appropriate information into the Payment Reference field.
  5. Use the drop-down menu arrow to select the correct Payment Method. Example: for this Payment, the method was “System Check”.
  6. Select the Search button.
payment escheated search page
  1. The Payment Escheatment page displays. Select the Escheated Check radio button.
  2. The Date Escheated will default to current date. You may change this date. Remember the 'Date Escheated' is the Accounting Date for Escheatment Process.
  3. Enter the appropriate information into the Description field; enter "Verified with bank contact that this check has not been cashed".
  4. Select the Save button.
payment escheatment status

0 Comments

Add your comment

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.