Create a Remittance Bank Account for Bills Receivable

Create a remittance bank account to use with bills receivable remittance receipt methods. The remittance bank account determines how bills receivable are grouped and remitted, and provides accounting information for both bills receivable transactions and receipts.

These settings on the Create and Edit Remittance Bank Account pages apply to bills receivable remittance bank accounts:

• Primary option: Enable this option if this is the primary bank account for this receipt method. If you're creating more than one remittance bank account in the same currency, then you must set one bank account as Primary.

• Override bank option: Enable this option if you want to be able to change the remittance bank information on a bills receivable remittance batch after it's created.

• Clearing Days field:

  • If this receipt method is for standard remitted bills receivable, enter the number of days it will take for the bank to clear the customer drawee receipt.

  • If this receipt method is for bills receivable factored with recourse, enter the number of days it will take for the bank to clear the cash advance (short-term debt) receipt.

• Risk Elimination Days field: If this receipt method is for bills receivable factored with recourse, enter the number of days after the maturity date to clear the short-term debt.

• Remitted Bills Receivable and Factored Bills Receivable fields: Enter the remitted bills receivable and factored bills receivable accounts used for bills receivable transactions.

• Collection Days field: If this receipt method is for standard remitted bills receivable, enter the minimum number of days that the remittance bank uses to collect on a bill remitted after the maturity date.

• Short Term Debt field: Enter the short-term debt account to use for factored bills receivable with this receipt method.

  Note: The Factoring field isn't used for bills receivable. Bills receivable receipts aren't factored, but rather created as remitted.