Make Cheque Payments
You can issue electronic and manual checks in Business Central. Both methods use the payment journal to issue cheques to vendors. You can also void cheques and view cheque ledger entries.
The following procedure shows how to pay a vendor with a computer cheque by applying the payment to the relevant vendor invoice, printing the cheque, and then posting the payment as paid. This results in positive vendor ledger entries, applied to negative bank ledger entries, and physical cheques for processing in the bank.
You can pay with two types of cheque. For both types, the Bal. Account Type or the Account Type field must contain Bank Account.
- Computer Cheque: Select this option if you want to print a cheque for the amount on the payment journal line. You must print the cheques before you can post the journal lines. You can only select Computer Check if
- Manual Cheque: Select this option if you have created a cheque manually and want to create a corresponding cheque ledger entry for this amount. By using this option, you cannot print the cheque.
To make sure that your bank only clears validated cheques and amounts, you can send them a file that contains vendor, cheque, and payment information. For more information, see Export a Positive Pay file.
Your printer must be correctly set up with the cheque forms, and you must define which cheque layout to use. For more information, see Define Cheque Layouts
You can print up to 10 invoices on a page for a cheque stub. If a cheque applies to more than 10 invoices, when you print the stub we void the cheque on the first page and print the word VOID on the cheque. We then print the remainder of the invoices and the total cheque amount on the second page.
To pay a vendor invoice with a computer cheque
The following describes how to pay a vendor by cheque. The steps are similar to refund a customer by cheque.
Choose the icon, enter Payment Journals, and then choose the related link.
Fill in the payment journal lines. For more information, see Record Payments and Refunds.
In the Payment Method Code field, select Cheque.
In the Bank Payment Type field, select Computer Cheque.
Choose the Print Cheque action.
In the Check window, fill in the fields as necessary. Hover over a field to read a short description.
Choose the Send to button, select the PDF Document option, and then choose the OK button.
The physical cheques can now be brought to the bank for processing. Proceed to post the payment as applied to the vendor and thereby paid in the system.
Choose the Post action.
Fully applied vendor ledger entries and bank ledger entries are created.
If you want to print and pay cheques in more than one currency from different bank accounts, you must run the Print Cheque batch job separately for each currency and specify the appropriate bank account.
To cancel printed cheques that are not posted
You can cancel non-posted cheques after they have been printed by using the Void Cheque action in the Payment Journal window.
- In the Payment Journal window, choose the Void Cheque, and then choose which cheques to cancel.
To void cheques
When cheque payment have been posted, you can only cancel (void) cheques from the resulting bank ledger entries.
- Choose the icon, enter Bank Accounts, and then choose the related link.
- Select the relevant bank account, choose the Edit action, and then choose the Cheque Ledger Entries action.
- In the Cheque Ledger Entries window, choose the Void Cheque action.
- Select the Void Cheque Only check box.
- Choose the OK button.
To view a summary of posted cheques
If you want to review posted cheques, for example to verify multiple cheques paid to one vendor, you can use the Bank Account - Cheque Details report.
- Choose the icon, enter Bank Account - Cheque Details, and then choose the related link.
- Set filters as relevant, and then choose the Preview button.