The implementation of payment transaction automation requires the bank account owner to authorise Procountor to perform the data transfer functions required by payment transactions. The bank then issues the required IDs and opens services for Procountor on the basis of the authorisation.
Bank account authorisations
You can download the banking authorisation form here. Print the authorisation on paper, enter the required information, sign the authorisation and deliver it to the bank, for example by faxing it to the number indicated on the authorisation. Your accounting firm can take care of the practical arrangements required for obtaining the authorisation.
Based on the authorisation, Procountor will automatically perform the required payment transaction functions, using the payment transaction system of OpusCapita Plc as the intermediary. Outgoing payments are delivered to the bank at least once per day, and the bank statements and other feedback generated by the bank are received by 7.00 a.m. on each banking day.
Read more on completing the banking authorisation form
Bank account information
You must tick the On invoice template item if you wish the SWIFT code to be included on the template.
Procountor supports the banking services of
- Nordea Plc
- OP-Pohjola Group
- Danske Bank Plc
- POP Bank
- LähiTapiola Bank
- DnB NOR Bank and
Note! Please be extra careful when entering your bank account number in your basic information. The bank account number includes a check digit that will be verified. This verification is completely reliable if a single character in the account number has been entered incorrectly. Depending on the calculation method, one in ten errors is not detected if there are two or more incorrect characters (e.g. two numbers have switched places).
When adding a new bank account, you can specify it as a currency account. The program is capable of receiving bank statements for currency accounts.
Note! If your account is at OP-Pohjola, the Express payment payment method will not be available, since express payments cannot be made from OP-Pohjola accounts through Procountor.
Funds on the account
The funds on a bank account are owned completely by the account owner. Neither Procountor International Ltd nor the accounting firm used by your company or corporation have any rights to these funds, which can only be used to pay purchase invoices or other fees approved for payment through the service. Your company must specify the users authorised to process payments in user management.
Services linked to bank accounts
The bank account information section includes several account-specific items related to SEPA and services used with the accounts:
- BIC code is generated automatically according to the bank.
Foreign payment field determines whether foreign payments can be made from this account.
Salary payment field determines whether SEPA format salaries can be paid from this account.
Express payment field determines whether express payments can be made from this account.
Note! Before selecting any payment service options for an account, you must confirm that their use has been agreed on with your bank with the banking authorisation form.
Procountor requires invoice feedback to be delivered within the bank statement.
For bank statement services, we recommend choosing daily bank statements. Procountor can also receive weekly and monthly bank statements. However, this will lead to a corresponding delay in accounting and the entry of payments in accounts payable.
Payments received in bank accounts
All invoices sent from Procountor include a bank reference code generated from the invoice number by adding the number one to its beginning and a check digit to its end.
Reference payments are received as a separate file from the bank before 7 a.m. on banking days. Payments are automatically entered on sales invoices.
Incorrect payments can be returned to the payer or their reference information can be adjusted to the correct open invoice.
Paying invoices from bank accounts
A circulation process for purchase and other invoices can be used to verify and approve invoices before payment. In the Approval circulation settings, you can specify whether invoices must be approved before payment. Verification and approval is not needed in small companies, in which the entrepreneur queues invoices for payment immediately. You can change the payment sum when paying invoices if, for example, the account balance is insufficient to cover the entire payment amount. Such partial payments can affect the taxation penalties for delayed payments in particular.
The payment date is the date on which the payment data is transferred to the bank.
If the invoice’s payment date is in the future, the invoice will remain in the Payment queued status until 5:30 a.m. on the payment date, when the payment data will be transferred to the bank.
If the invoice’s payment date is the current date, the payment transaction will be transferred to the bank at either 10:00 am, 12:00 pm, 2:00 pm, 4:15 pm or 5:08 pm, depending on when the invoice was queued for payment.
If the payment was queued after the 5.00 p.m. transfer batch run, the payment transaction is transferred to the bank at 5:30 a.m the following day.
Foreign payments are transferred twice a day, at either 8:15 a.m. or 3.30 p.m.
If the payment date is far ahead in the future, the system will notify you of this, but you can still queue the invoice for payment if you wish.
If the payment date is in the past, the payment transaction is transferred to the bank in the next transfer batch run.
Payment errors and insufficient balance
If the bank account has insufficient balance to cover the entire instalment, the bank will reject all payment transactions included in the instalment. In case of a lack of funds, you can transfer funds from the entrepreneur’s private account to the company account or postpone the payment dates of some payments in order to ensure the payment of urgent invoices.
Procountor processes the payment feedback information received within the bank statement and allocates it to the transaction once the bank has debited the payment.
More than one bank account
Companies or corporations can use more than one bank account if they so wish. The accounts used for payments are marked as such at Management > Company information. The account from which the payment will be debited is selected from the Paying invoices view.
If the recipient of a sales invoice sent by your company cannot accept e-invoices, you can send the invoice through the invoice channels Mail or E-mail. A bank bar code, whose banking information is the bank account number indicated at the top of the invoice, is printed on the invoice.
Accounting entries posted for bank account transactions
In the short chart of accounts, the number of the ledger account corresponding to the bank account is
1910 Cash in bank
If your company uses more than one bank account, you must specify default sub-accounts for your primary bank account. These accounts must first be opened in the account list. The basic chart of accounts already contains the accounts 1910, 1920, 1930 and 1940. You can also change the names of default accounts when you specify them, for example:
1910 Cash in bank, Bank M
1920 Cash in bank, Bank O
1930 Cash in bank, Bank S.
Bank transactions are entered in the accounts as separate daily sums for deposits and withdrawals. If you use a weekly bank statement, it is divided into daily statements from which daily accounting entries are obtained.
Row-specific transactions on the bank statement are entered automatically on the basis of their entry explanations. The entry explanations and their corresponding ledger accounts can be viewed and edited in Basic accounting information, under Posting defaults.
Some entry explanations are too generic for accounting purposes. For this reason, you may have to specify an automatic posting by replacing the default account for the transaction with the ledger account corresponding to the contents of the payment transaction.
Ask your accountant to check the default entries on the accounting pages of bank reference codes and bank statements. The chain of entries in Procountor is not functioning properly if accounting pages are not generated for bank reference codes or SMP feedback is not received within the bank statement.
Bank account use
In addition to receiving payments for sales invoices and paying purchase invoices, many other banking services can be managed on bank accounts:
- Direct debiting of loan instalments and interest
- Debit card payments
- Cash sales deposits
- Banking service fees
Procountor assigns a default ledger account for all of these transactions according to their entry explanations. If the default is too generic, the ledger account must be adjusted on the accounting page.
Users can browse bank statements for the bank account in order to make accounting entries and track bank account transactions. The information on bank statements cannot be modified, but the accounting entries made of them can be specified and corrected for the duration of the fiscal year.
Bank account balancing
The person responsible for the company’s accounting must regularly balance the bank account’s bank statement balance with that in nominal ledger accounting. Balancing is carried out by opening the general ledger view for the bank account in question and comparing the closing balance with that of the bank statement for the corresponding period.
The reasons behind any major balancing differences must be investigated. The difference can be located by browsing back bank statements and comparing them with the general ledger view. In practice, the difference can only have been caused by the correction of incorrect accounting (e.g. adjusting the account number). The error can be rectified by correcting the accounts.