Bank Transaction Codes
If you want to load electronic bank statements or use Cash Management's AutoReconciliation feature, you must define, for each bank account, the transaction codes that your bank uses to identify different types of transactions on its statements. You should define a bank transaction code for each code that you expect to receive from your bank.
You can enter effective date range fields, Start Date and End Date, so that you can make a bank transaction code inactive. You can also delete codes that have not been used, in case you make a mistake in creating one.
You can easily view the bank transaction codes you have created here by submitting the Bank Transaction Codes Listing.
To define a bank transaction code:
1. Navigate to the Bank Transaction Codes window.
2. Select the bank, whose codes you are defining, from the Find Bank window. Alternatively, you can query the bank Account Number. The system displays the Bank Transaction Codes window, which includes Bank Account and Bank information, as well as a region for entering transaction codes.
Bank statement lines are coded to identify the type of transaction the line represents. Since each bank might use a different set of transaction codes, you need to map each code a particular bank uses to one of the following Cash Management transaction types.
You can select from the following list of values:
- Payment: Payments such as generated or recorded checks, wire transfers, and electronic funds transfers.
- Receipt: Receipts such as received checks, direct debits, and bills of exchange.
- Miscellaneous payment: Payments not associated with supplier invoices, such as petty cash transactions directly posted to cost accounts, such as bank charges.
- Miscellaneous receipt: Receipts not associated with customer invoices, such as petty cash transactions directly posted to revenue accounts, such as interest received.
- Stopped: Stopped payments previously entered, generated, or cleared, such as callback of check. A stopped transaction type matches only to Voided or Stopped payments in Oracle Payables.
- Rejected: Receipts rejected for reasons other than non-sufficient funds, such as an invalid bank account. A rejected transaction type matches only to reversed receipts in Oracle Receivables.
- NSF (Non-Sufficient Funds): Receipts rejected by the bank because the accounts on which they were drawn had non-sufficient funds. You can reverse these receipts by creating a standard reversal. Cash Management reopens the invoices you closed with the original receipt. When you match bank statement lines with transactions, an NSF transaction type only matches to reversed receipts in Oracle Receivables.
4. Enter the Code used by your bank.
5. Enter an optional description of the transaction.
6. Enter Start and End Dates to determine when the bank transaction code is considered active.
8. Enter a Transaction Source for payment and receipt transactions. Choose Journal from the list of values to reconcile statement items with the assigned transaction code to General Ledger journals. Choose Open Interface to reconcile statement items to transactions in the Reconciliation Open Interface. Choose AP Payments or AR Receipts to reconcile statement items to transactions in Oracle Receivables and Oracle Payables.
- Misc: Only match against miscellaneous transactions.
- Stmt: Only match against statement lines (corrections).
- Misc, Stmt: First try to match against miscellaneous transactions, if there is no match, then try to match against statement lines (corrections).
- Stmt, Misc: First try to match against statement lines (corrections), if there is no match, then try to match against miscellaneous transactions.
This field is only applicable for those Miscellaneous Receipt or Miscellaneous Payment transaction codes that may be used to match to correction statement lines.
12. If you chose the Create option in the previous field, specify the Receivables Activity type and Payment Method for any miscellaneous transactions (receipts or payments) you create from within Cash Management.
13. Define each additional bank transaction code, following the previous steps.
About Bank Statements
Overview of Setting Up
Reconciling Bank Statements Automatically
Bank Transaction Codes Listing