How To Start A Deposit

Charging a customer for a deposit involves creating a service agreement. Deposit service agreements are just like other service agreements in many ways:

• The system bills the customer for the deposit using information on the service agreement.
• The customer pays for the billed amount.
• If the customer doesn't pay, credit & collections starts a collection process to encourage the customer to pay.

Deposit service agreements differ from regular service agreements in the following ways:

• Deposit service agreements typically don't cause a receivable account to be affected when the deposit is billed. It is only when the deposit is paid that a financial transaction occurs (debit cash, credit deposit payable).
• Deposit service agreements have a credit balance when the billed amount is paid (the deposit paid by the customer is a liability of your company - it owes the customer this money).
• Deposit service agreements may be billed in installments or in a lump sum.

Creating a deposit service agreement involves the following steps:

• Select the account on Control Central and open Start/Stop.
• Enter a Start Date and Start Method of Start a Premise.
• Indicate the premise that the deposit service agreement will cover using the Address and click the Start button.
• After you click the Start button, the Start Confirmation page will appear:
  • Choose an appropriate CIS Division / SA Type for the deposit service agreement.
  • If Start Options have been created for the CIS Division / SA Type, you need only select the appropriate option and close the page. The system will use the information on the start option to populate the service agreement's billing parameters (e.g., the total deposit due, the installment amount, etc.).
  • If Start Options have not been created for the CIS Division / SA Type, you must define the total amount of the deposit and the installment amount, if any. You define the total amount of the deposit in Total Amount To Bill. You can have the system recommend a deposit amount by pushing the that appears adjacent to this field.
  • If you allow the customer to pay the deposit in installments, define the Installment Amount (the prompt for this field is defined on the SA type and therefore will differ depending on how you've set up the system). After defining this information, close the page. The system will use the information you entered to create a deposit service agreement.