1. Accounts Payable Implementation Guide
  2. Setting Up the System for EFT Payments

Setting Up the System for EFT Payments

This table describes the additional setup that you must perform to process EFT payments:

Program

Required Setup

Supplier Master Information (P04012)

  • Verify the status of the Pre-Note Code option. When you process EFT payments for the first time, the Pre-Note Code option must be selected. When this option is selected, the system prints a payment for the supplier so that you can verify that the supplier's bank account information is correct before submitting a payment electronically. After you create the first payment run, the system updates the status of the Pre-Note Code option to unselected so that subsequent payment runs for the supplier will result in an electronic payment.

  • Specify the payment instrument in the Payment Instrument field. Generally, you enter T for EFT payments, but you can specify your own payment instrument.

Bank Account Information (P0030G)

  • Enter your bank account information in the Bank Transit Number and Bank Account Number fields.

  • To override the prenote code status on the Supplier Master Revision form, select the Override Supplier Pre-Note Code option on the Revise Bank Information form. If you select this option, the system generates EFT payments for all suppliers, regardless of whether the Pre-Note Code option is selected.

  • Enter the X12 information for your bank. The system populates the addendum record in the F04572OW table with this information. You can obtain this information from your bank.

To support IAT format, enter the bank information of a foreign Originating Depository Financial Institution (ODFI) using the Foreign ODFI Row menu option on the Work with G/L Bank Accounts form. If you select the Foreign ODFI option, then the system creates a new record in the Bank Transit Master table(F0030) with a value of O in the Bank Type field.

Bank Account Cross-Reference (P0030A)

Enter the bank account information for the supplier in the Bank Transit Number and Bank Account Number fields.

To support IAT format, enter the foreign Receiving Depository Financial Institution (RDFI) bank information using the Foreign RDFI Row menu option on the Work with Bank Accounts by Address form on the Bank Account Cross-Reference program.

Payment Instrument Defaults (P0417)

Verify that payment instrument T (or the value that you specified) is set up to use payment print program P04572T2 and register print program P04576. P04572T2 uses the Create A/P Bank Tape - CTX Format program (R04572T2), which creates records in the A/P Payment Tape table (F04572OW) in the CTX format.

As an alternative to the CTX format, you can use the R04572T1 format for U.S.-based electronic payments.

To support the ACH International ACH Transaction (IAT) format, you set up the payment instrument @. This payment instrument specifies that the supplier uses electronic funds transfers using the IAT format.
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