Processing a Returned Cheque

Some Of the nominals and ledgers used in this topic may be different to those in your chart of accounts.

Occasionally, an issued cheque may be returned, perhaps because the amount, date, or supplier/customer name was incorrect. In these circumstances, the recorded cheque payment must be cancelled from the system.

If a replacement cheque is subsequently issued for the payment, then the details of the new cheque payment need to be recorded in the software. For more information, please see Recording an Individual Cheque Payment.

  1. Select Enquiries, then select Document Enquiry from the menu.

  2. The Document Enquiry Criteria dialog is displayed. Select Equals from the Document Type drop-down list. Select Drill (...) in Value 1, then double-select to select PCQ - Cheque Payments or REC - Receipts from the Select a document type dialog.

  3. If the document number of the document to be reversed (cancelled) is known, select Equals from the Document Number drop-down list, then enter the cheque number in Value 1, then select OK to confirm your selections.

  4. The Document Enquiry window is displayed. If a document number was not specified in the criteria, a list of all documents of the document type are displayed. Find the required document. Select Expand (+) adjacent to the Document Type column for the selected document to display the details panel.

  5. To cancel the cheque payment, right-select the document line, then select Cancel Payment or Cancel Receipt from the pop-up menu.

  6. The IRIS Financials Reporting Services Browser window is displayed confirming that the cheque document has been submitted for cancellation. Select X to return the Document Enquiry window.

  7. A cancelled cheque document is created. If you want to check that the cheque has been cancelled correctly, run the document enquiry again, selecting PCQX - Cancelled Cheques or RECX - Cancelled Receipts in Document type.

  8. From the resulting Document Enquiry window, right-select the required cancelled cheque document detail line, then select Show Allocation from the pop-up menu.

  9. The Allocation window is displayed showing the original and the cancelled cheque documents allocated together. The original document to which the cheque document was allocated is then available again for payment and allocation.