How to setup Direct Deposit/Debit for Tenants

One of the rent payment methods available to tenants is the ability to do a direct deposit. This is where your company send up to the bank for the tenant money and then pull it back down.

You will need the tenants written permission for this.

Important Note: Palace picks up the weekly rent amount (or fortnight, monthly etc) and sends up the file. It does not look for a rent increase that is happening in the middle of a rent period. Palace also does not work out the amount to vacate and take only that.

Setting up the Tenant for Direct Debit for Rent:

You can do two types of Direct Debits, one for rent and others and one just for Tracked Invoices. There are a few things to set up in Palace first. The instructions for Tracked Invoices are below

  • Payment Type
  • Payment Details
  • Bank Account

 

Setting up the System Bank Account

  • Go to File – System Bank Account
  • Highlight the Bank Account and click on Edit
  • Type into the DD Bank/APCA field the same information that it is in the Bank/APCA Code
  • Then click Save and Close

Setting up the tenant:

 
  • Edit the tenant

  • Click on the drop down arrow next to the Payment Type - Select Direct Deposits

  • Now click on Drop down arrow next to Payment Details - Fill in the amount, the days frequency and you must put a date that the direct deposit is due
  • Fill in any other field that you may need. ie Invoices (not for the tracked ones)
  • Save
  • Click on Bank accounts ... Enter in the tenant bank account details
  • Click Save and then Save the tenant record.

Note: You can also send up a DD file for just tracked Invoices. You do not need to set up anything extra for this, this will just look for the Invoices that are Overdue and bring down the amount accordingly.

 

Sending the file to the bank:

Palace created a CSV file from the Direct Deposits due for you to send to the bank, Once the bank receive it they process it and the tenant rents are then shown on your bank statement the next morning. Receipt as normal.

You must have set up the ability to do Direct Debits/Deposits with the bank.

  • Go to Transactions - Click on the drop down arrow on the right hand side.
  • Select Generate DD Entries
  • The screen will show all tenants that are due up to the date given

  • Note: You can edit the amount that you require by highlighting the tenant and click on Edit.
  • Tick all the required tenants or select all
  • Then click OK

  • This will take you to the Online Screen, click on Generate
  • This will create a CSV file for you to upload to your bank
  • All done

 

Direct Debit for Tracked Invoices:

You must first make sure you have set up the Tenant Invoice Due Date. This is found in File System Setup. You will need to set the number of days required. The system will default to 28 days.

Make sure the Tenants payment method is set to Direct Debit.

In the Tenant Bank Account area make sure the box is ticked for Direct Debit - Other Amounts (bottom left)

  • Go to Transactions - Click on the drop down arrow on the right hand side.
  • Select Generate DD entries (Invoices)
  • The screen will show all the overdue invoices for each tenants
  • Note: You can edit the amount that you require by highlighting the tenant and click on Edit.

 

  • Tick all the payments you wish to generate
  • Then click OK (Bottom right of screen)
  • A pop up box will appear for you to choose the Transaction Date - nominate date for DD and choose OK
  • Note: This box will default to the current date.
  • You will be taken to the Transactions screen - Choose Process
  • Once Processed go to Online File

  • Generate the file and save to your usual file location.
  • This will create a CSV file for you to upload to your bank
  • All done

 

Reconciliation:

The next day, the Direct Debits will show as a batch on your bank statement, this will stay unmatched in the Bank Import and you just present the transactions in your Bank Reconciliation. They will show in the unpresented area of your Bank Reconciliation as a batch.

 

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