Pay a 3rd Party Vendor - Pay Credit Card Vendor

Paying a 3^rd Party Vendor – Paying the Credit Card Vendor

In Accounts Payable (Module 3), vouchers can be paid with a different Vendor. This may be used for paying a vendor with a credit card.  For instructions on this please see the document titled Credit Card  / 3rd Party Vendor . 

When the 3^rd party vendor pay is completed a new debit voucher is posted to the 3^rd party vendor’s A/P account for the total of the selected vouchers.

For this document we will use the following example:

The American Express vendor was used in the 3^rd party vendor pay on 12/10/11 to pay 3 different vendors and again on 12/20/11 for 2 other vendors.  Here are the vouchers now on the American Express vendor account:

Voucher #1001 12/10/11 OCE                        $6,000.00

Voucher #1002 12/10/11 ABC Paper             $300.00

Voucher #1003 12/10/11 GMAC                    $420.00

Voucher #2001 12/20/11 A&M SUNOCO    $1,000.00

Voucher #2002 12/20/11 SAMS                     $50.00

It is now 12/25/11. You have a $10,000.00 American Express limit.  Now you need to pay American Express. 

STEP 1

Get a statement from American Express, either in the mail or go online to your American Express account.

STEP 2

Print report for your American Express vendor.  Go to:

• Accounts Payable (Module 3)
  • Aged trial balance (Task 9)
    • Aged trial balance with optional detail APTBAL (Sub-task 3)
      • Make the following selections:
        • Select the proper print
        • Aging date: 12/31/11 Use date to coordinate with American Express statement
        • Aging basis (1)Due (2) Document: 2  Document
        • Print item detail (Y/N): Y
        • Document cutoff date: 12/31/11 Use date to coordinate with American Express statement
        • ALL divisions
        • Please enter vendor type (RETURN for ALL): ALL
        • Numeric or Alphabetic Order (N or A): N
        • Starting & ending vendor #: Type in American Express Vendor #

      • This A/P Aged trial balance report will show the 3^rd party vendor vouchers.  With our example the above vouchers will be on the report, with a balance of $7,770.00.

        • ​These vouchers need to be verified & checked off against the American Express statement. 

STEP 3

If the American Express statement has additional charges they should be investigated.

• If these charges are for inventory find the Purchase order, receiver & vendor invoice.  If need be call the vendor and ask for a copy of the invoice.
  • Look in vendor’s A/P account to see if it has already been vouchered & posted to that vendor #.  If it has go into Task 25 Voucher payment preparation (Task 25) to complete a 3^rd party vendor pay to transfer the voucher to American Express.
  • If the invoice hasn’t been vendor invoiced, do it now (Module 7 PO, Task 3 Vendor invoice entry & editing).   Mark field 20 Pre-paid with 3^rd party vendor using the American Express vendor #.  Post it all the way into the vendor’s account.
• If the charges on the American Express statement are not for inventory, they will need to be vouchered & posted in A/P Voucher entry & editing (Task 1).  It is up to you if they will go into a vendor’s account or directly into the American Express vendor.
  • Someone used the American Express card to take a customer to lunch.  The restaurant doesn’t have a vendor # so the charge is vouchered &  posted directly into the American Express vendor #. 
  • Another charge on the American Express statement is to USPS for stamps.  USPS has a vendor #.
    • Look in the USPS vendor account to see if it has already been vouchered & posted to that vendor #.  If it has, you will need to do a 3^rd party vendor pay in Voucher payment preparation (Task 25) to transfer it into the American Express vendor’s account. 
    • If the USPS charge isn’t already in the USPS vendor’s account you will need to go into Task 1 Voucher entry & editing to post the voucher (to the USPS vendor # marking field 7 Pre-paid with the 3^rd party vendor using the American Express vendor #. 

STEP 4

• Once all of the American Express charges are in the American Express vendor’s account print a new A/P Aged trial balance for the American Express vendor using the above selections.  Now the A/P Aged trial balance for the American Express vendor and the American Express statement should match. 

STEP 5

• Pay American Express.  This would be the same as paying any other vendor.  (Other vendors may be paid at the same time.)
  • Go to Voucher Payment preparation (Task 25) Select vouchers to be paid (Sub-task 1). Select the American Express vouchers for payment.
  • Print payment edit list (Sub-task 3) Make sure this is the amount you want to pay. 
  • Pay selected vouchers (Sub-task 4) Pay for these vouchers with pay method preferred, company check, EFT or 3^rd party vendor pay to pay with a different credit card.  

IMPORTANT: Please follow the normal A/P Daily balancing procedures with all voucher postings and check registers. See document titled A/P Daily Balancing

NOTE:  If vouchers are deleted or changed from the A/P open items (Task 21) or Voucher history (Task 19) this could cause a monthly imbalance.  This is not recommended.