Creating a Cash In-Transit (CIT) Clearing Account
You must create a clearing account to hold amounts that are intended to be paid but have not yet been received by the vendor’s bank. This account to hold interim funds is known as a Cash-In-Transit (CIT) account.
The CIT account you create must be an Other Current Liability type account. CIT accounts can be used only for journals and in-transit payment transactions.
For information about creating a new account, see Creating Accounts.
After creating a CIT account, you can use it on transactions and to set preferences for in-transit payments. For more information, see Setting Preferences for In-Transit Payments.
If you use NetSuite OneWorld, you can set a global preference to use one CIT account for in-transit payments in all subsidiaries. Otherwise, each subsidiary can use a different CIT account. After it is assigned to a subsidiary or global preference, the account can be used only for CIT transactions. If an account was previously used on a non-in-transit payment, you cannot make it a CIT account.