Processing a Payment for an NSF Invoice

This article explains how to apply a payment from a customer, carrier, or a carrier credit sweep to an open non-sufficient funds (NSF) invoice and to create a log note to document the payment in the client file.

See Processing an NSF Invoice for information on recording an NSF transaction.

This task is typically performed by an Owner/Administrator, Manager, or Bookkeeper.

To apply a customer payment

Use this workflow when the customer pays towards an NSF invoice.

1. Retrieve the client, and then select the policy that the NSF invoice was created for.

2. Click Action, and then select one item in each of the first three lists to describe what prompted this transaction.

3. Click Trust Accounting > NSF Funds Rec'd - Insured Payment.

   The Payment dialog opens, followed by the Apply Accounting Items dialog.

4. Select the NSF invoice you are applying the customer payment to, and then click Continue (which indicates that the client has credits you can apply in the next step) or Done/Finish.

   NSF invoices will have a 1st Line Description of "Non-Sufficient Funds Returned [date of NSF]".

5. Conditional: If there are any unapplied credits, check the box next to any unapplied credit(s) you want to apply to this NSF invoice, and then click Finish, or click Skip if you do not want to apply unapplied credits.

   You can alter the Apply Amount.

6. Add payment information to the Payment Items section.

   To add a payment method and amount

   1. Select a Pay Method from the drop-down list.

      You can add any number of payments to the receipt. Each time you fill in all of the Pay Method rows, an additional row will become available.

   2. Conditional: Enter the Check or Reference number, if needed.

      For example, the last 4 digits of the credit card number.

   3. Confirm the Amount Tendered.

      If the Amount Tendered is more than the amount due, see step 9 for overpayment information.

7. Optional: Enter a message in the Printed Comment field to appear on the generated customer receipt.

8. Optional: Enter an Internal Note which does not appear on the customer receipt but will become part of the documentation in the client.

9. Conditional: Check Do not transfer to QuickBooks to prevent this receipt from being exported to QuickBooks.

   This option is useful when you are accepting payment on a courtesy invoice, and the money will not be deposited into your bank account.

10. Conditional: If there is an overpayment, select an option from the Overpayment drop-down.

    Overpayment options

    Change - Select this option if the customer paid in cash, and you are refunding the customer using the using cash. HawkSoft will create a Change payment method for the balance.

    Credit Client - Select this option if you are crediting the customer account for the balance. HawkSoft will create a Client Credit invoice item.

    Insured Refund - Select this option if you are refunding the customer using a check. HawkSoft will create an Insured Refund invoice item. When this receipt is exported to QuickBooks, HawkSoft will queue up a customer check to print.

11. When you are finished, click Save Payment and Exit.

    The NSF Funds Rec'd - Insured Payment Saved dialog opens.

12. Click Close Window.

13. Click Finish on the Action menu.

    The Finalize Log dialog opens.

14. Optional: Add client tags and Tasks, as needed.

15. Add log comments and create a Task as needed, and then click Save Log.

The client now has a record of the NSF check, as well as additional fees, being paid in full, and the payment is applied to the Trust Accounting Report.

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