Lock box clearing

Hi All
Can any body explain me how the clearing will happen in lockbox processing.
How searching criteria happens in algorithms for invoices?
Thank you
Deepa

Hi Deepa,
Customer payments are posted into the system to represent the collection of money and the application of this money against Customer liabilities to the company. This can be performed two ways within the system, either on an individual payment-by-payment basis, or collectively, in what is commonly called lockbox processing.
Individual payment-by-payment processing will have the User entering one transaction per payment. Lockbox processing is a two step process: step one has User using one transaction to post multiple payments based on data file from the bank, and step two is a transaction to correct any un-applied payment data from step one. 
Lockbox is a function, performed by a bank, which allows the Customer to send payments directly to a bank via ‘lockbox’ (a specific mail address set-up for the company at the bank). These payments are collected by the bank and applied to the company’s bank account, with data from the payments (like check routing number, Customer bank account number, check number, payment amount and invoices being paid) being made available to the company in a file format to allow for collective processing. The lockbox data is either sent daily to the company, or located at the bank, and retrieved by the company daily.
The lockbox process uses a 'lockbox clearing' account to post all payments directly to bank G/L account. This allows the bank account to have a correct balance while the clearing account has non-zero balance until all payments are applied to Customers or written off. The lockbox posting log should be printed for future reference (especially in resolving issues for post-processing). The lockbox posting log should be printed for future reference (especially in resolving issues for post-processing). The lockbox process will provide Customer updates to bank details, if the data does not already exist, and the program find payments that can identified to a specific Customer based on invoices paid.
Regards
Genie

Similar Messages

  • Lock Box - Cleared items (Urgent please)

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    2. How many customer invoices were not able to be cleared due to tolerance error through Lock Box clearing program
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    Krishna

    Hello,
    1.How many customer invoices have been cleared through Lock Box Clearing program -- I wanted to findout how many customers have been cleared automatically (How can I findout this information - Tables/Field)
    You can sort this in table BSAD based on Doc type...Idenity whether your document posted via Lockbox program has unique ID...else you can identify from the table BKPF header records <fields TCODE & BLART>.
    Hope this helps
    Rgds
    Rajendra

  • Lock Box - item not getting cleared

    Hi,
    I m testing the lockbox process with the lock box file available online.
    I could be able to import the file and document got created. But i have some doubts, please try to reply for the same.
    1) payment advice got generated but the customer open item is still not cleared? do we need to process that further? the check status is applied and G/L document got posted.
    2) I think we can also process lock box posting through Idoc, what is the process flow? would you pease eloberate on this IDOC  process for lockbox.
    3) I am not able to understand the posting done (without clearing the customer open item). Both debit and credit posted to a bank account. would you please eloberate the posting done while lockbox processing?
    Please let me know if more information required.
    Regards,

    Hi,
    If you are able to load the lockbox file then customer items shall be cleared. Please check the posting rule config and clearing accounts maintained for lockbox.
    Thanks,
    Sachin

  • Lock Box not clearing

    Hello all,
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    hi experts,
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    No, standard lockbox cofiguration doesn't provide this facility.
    There are 5 standard Lockbox program that do clearing based on either Reference (XBLNR) or Document number (BELNR) or both.
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  • Lock Box Reason Code.

    Hi Experts,
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    Regards,
    Sam.
    Edited by: samiuk on Nov 11, 2011 4:23 PM

    Yes you can.
    Customer and User tolerance limits, payment advice tolerance limits and reason codes
    When an incoming cash payment does not exactly pay the referenced open item(s), then the system will not be able to perform clearing without creating residual items back on the account - except when you establish tolerance limits to allow posting with a write-off of acceptable payment difference amounts.
    Reason code settings are used for description and reporting purposes, generation of specific customer correspondence letters (automatic system generation whenever this reason code is assigned to a document), and difference item write-off/dispute status assignment.

  • Lock box jobs getting cancelled

    Hello All,
    I am new to lockbox processing. I am into lock box support project now. Recently lot of lock box jobs are getting cancelled. While I am going through job log it says that " Payment advice 01706525923 does not exist for account 10001009 0110 ". Similar error showing for few other jobs. Can you please anybody through some light on this regarding how to investigate this error?
    Thank you,
    Santosh

    When ever you get such kind of message then it says that it has found the customer and not found the document to post.
    Now when you got to T.code FLB1. you can see that in "on account" status.
    Now through lockbox post processing you have to post/clear the document (thru F.04) to make the document to "Applied" status.
    Assign points if useful.

  • Payment Advise error while uploading Lock box

    Hi,
    i am getting the below error in FBL1 transaction code. I am able to upload the lock box in FBL2 transaction with Appllied status. After that when i execute FBL1 transaction i am getting the below error related to Payment Advise. Kindly help me to fix this issue...
    Payment advice 010000000700001 does not exist for account 237059 1000
    Thanks
    Kishore

    Once the incoming payment is applied and the invoice is cleared the system would delete the payment advice immediately and you would get this error from FLB1, this is standard.

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  • Lock Box configuration Material

    Can u plz send me today the LOCK BOX material to my id.
    Plz do this favour to me regarding the config steps and any material of LOCK BlOX.
    meeswathi at gmail
    points will be assign,
    Regards
    Swathi

    Lock box Configuration steps:
    1./NOBAX- Define posting data .Destination and Origin and also company code,  house bank, account id, bank account, clearing account and posting key and document type.
    2. /NOBAY- Control parameters. No change. Format -BAI2
    3./NOB10-Define lockboxes for house bank. Copy existing lock box number and assign lock box number to your house bank and company code.
    4./NSE11-ABAP Dictionary .Choose table FLB01, FLB02, FLB07, FLB08, FLB09,FLB26, FLB24 and click display on each table.
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    Please assign points if it is useful.
    Edited by: Abdul Karim on Apr 18, 2008 4:15 PM

  • Lock Box configuration and Lock box process

    Hi
    I immediately need detailed lock box configuration settings and do the process in easy access and also need the seetings for BAI format, which is part of lock box configuration.
    I will highly appreciate, if you immediately respond for the above.
    Thanks & Regards,
    Radhakrishna

    HI,
    To have Lock Box Customizing in the system you need to defien the following
    FA-Bank Accounting-Business Transaction-Payment Transaction-Lock Box
    Define Control Parameters for BAI format as
    Doc Length : 10
    No of Doc nu in type 6 : 3
    No of Doc nu in type 4 : 6
    GL Account posting : x
    Incoming customer payments : x
    GL account posting type : 1
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    Define Posting Date as
    Destination : 1000123456
    Origin : 0011000390
    Company Code : ABCD
    House Bank : HSBC
    Account ID: HSBCA
    Bank GL account: Deposit bank A/c
    Bank Clearing A/C : Clearing Account
    Bank Posting Doc type : SA
    Cus Posting Doc Type : DZ
    Posting Key  Dr : 40
    Posting Key Cr : 50
    Posting Key credit Cust : 15
    Posting Key DR cust : 06
    And save the posting date
    And in Customer master Payment Transaction Tab create Customer Bank details with bank key and Bank Account.
    then create a text file as show below
    100100012345600110003900712110100
    210001234560011000390
    5086001007250407121110001234560011000390
    60860020000150000 044115126189175247210 11000206
    408600360171800000003        0000150000000000000000   testtesttesttest
    7086007007250407121100100001500000
    80860080072504071211000100001500009    015000    015000
    9000001
    If any confusion in text file give ur mail id i will send you the file with explanation.
    Regards
    Balaji

  • Lock box post process

    Hi,
    Can anybody please let me know what is the error comes at the time of processing the Bank File?
    and can please let me know what would be happened if we getting the less amount then the invoice amount. what kind of error the system will pass?
    It's really very urgent.
    THanks,

    HI,
    To have Lock Box Customizing in the system you need to defien the following
    FA-Bank Accounting-Business Transaction-Payment Transaction-Lock Box
    Define Control Parameters for BAI format as
    Doc Length : 10
    No of Doc nu in type 6 : 3
    No of Doc nu in type 4 : 6
    GL Account posting : x
    Incoming customer payments : x
    GL account posting type : 1
    Enter all the details and save the BAI format
    Define Posting Date as
    Destination : 1000123456
    Origin : 0011000390
    Company Code : ABCD
    House Bank : HSBC
    Account ID: HSBCA
    Bank GL account: Deposit bank A/c
    Bank Clearing A/C : Clearing Account
    Bank Posting Doc type : SA
    Cus Posting Doc Type : DZ
    Posting Key  Dr : 40
    Posting Key Cr : 50
    Posting Key credit Cust : 15
    Posting Key DR cust : 06
    And save the posting date
    And in Customer master Payment Transaction Tab create Customer Bank details with bank key and Bank Account.
    then create a text file as show below
    100100012345600110003900712110100
    210001234560011000390
    5086001007250407121110001234560011000390
    60860020000150000 044115126189175247210 11000206
    408600360171800000003        0000150000000000000000   testtesttesttest
    7086007007250407121100100001500000
    80860080072504071211000100001500009    015000    015000
    9000001
    If any confusion in text file give ur mail id i will send you the file with explanation.
    Regards
    Balaji

  • Lock box  reason codes

    Dear gurus
    please advise as how we can uses reason codes with lock box file processing.
    We want to write off each individual invoice on customer open item if it is paid +/-60$.
    Can we use reason codes with lock box automatic processing, so that these +/-60$ writeoff's go to a particulat GL acct.
    Many thanks in advance.
    MSJ

    Yes you can.
    Customer and User tolerance limits, payment advice tolerance limits and reason codes
    When an incoming cash payment does not exactly pay the referenced open item(s), then the system will not be able to perform clearing without creating residual items back on the account - except when you establish tolerance limits to allow posting with a write-off of acceptable payment difference amounts.
    Reason code settings are used for description and reporting purposes, generation of specific customer correspondence letters (automatic system generation whenever this reason code is assigned to a document), and difference item write-off/dispute status assignment.

  • Lock box facility

    hi experts,i want to know about:what is lock box facility?can any body tell me the configation steps for that

    hi
    Using of lock box
    Lockbox is a process provided by a bank where the customer remits his payment to a PO Box at your bank, the bank deposits the check in your account and enters the remittance data from the customer. Then the bank sends the data to you electronically for you to import and apply in SAP-AR.
    The structure that the bank uses is usually one of two formats. BAI will provide you the customer information and the check amount but no invoice remittance data. Usually cheaper and works well for a business where customers are paying only one invoice at a time.
    BAI-2 offers remittance data but the bank charges more for the service because they have to enter more info.
    Look at structures FLB** to see the transfer data. 
    When the bank sends the customer payment data you use Treasury function FLB2 to import and then process the payments. This process attempts to determine where to apply the payment and will post directly against an invoice, an account to a customer or if it can't even determine the customer it posts into a clearing account (configured) to be resolved.
    for furthur notes
    http://help.sap.com/erp2005_ehp_03/helpdata/EN/06/992a88b22c11d289c70000e8215862/frameset.htm
    nagesh

  • Lock box procedure

    sapians,
    Please Explain the LOCK BOX PROCESS?
    Business scenario..?
    Legacy system of lOCK BOX PROCESS?
    Regards,
    sap

    hi
    Lockbox is a process provided by a bank where the customer remits his payment to a PO Box at your bank, the bank deposits the check in your account and enters the remittance data from the customer. Then the bank sends the data to you electronically for you to import and apply in SAP-AR.
    The structure that the bank uses is usually one of two formats. BAI will provide you the customer information and the check amount but no invoice remittance data. Usually cheaper and works well for a business where customers are paying only one invoice at a time.
    BAI-2 offers remittance data but the bank charges more for the service because they have to enter more info.
    Look at structures FLB** to see the transfer data. 
    When the bank sends the customer payment data you use Treasury function FLB2 to import and then process the payments. This process attempts to determine where to apply the payment and will post directly against an invoice, an account to a customer or if it can't even determine the customer it posts into a clearing account (configured) to be resolved.
    nag

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