Line of Credit Refund Payment
Overview of IL808
Once your organization has logged a payment against a line of credit, the line may retain a refund balance. This is an excess amount to be repaid to the borrower. A line of credit usually carries a refund balance when a cash receipt used for a payment is larger than the amount required in order to pay off the credit balance and/or interest due.
Line of Credit Refund Payment should be used when issuing a refund for a line of credit with an existing refund balance. It provides a temporary holding place for potential refunds and gives your organization an ability to restrict who is allowed to initiate outgoing payments. You also have the option to create a refund payment immediately while recording the line of credit payment in Line of Credit Payment
- From the DDI Connect main menu, double-click Financial Services
- Double-click Line of Credit
- Double-click Transactions
- Double-click Line of Credit Refund Payment. You will see this screen:
In the Line # field, type the Line of Credit number and then click Find, or click the list icon to select from a list of lines of credit in the system. The information will now populate:
The following fields are available on this screen:
Field | Description |
---|---|
Refund balance | Current refund balance of the selected line of credit. Display only |
Refund amount | Portion of the refund balance to be used in the refund payment. Must be less than or equal to the refund balance |
New refund balance | The refund balance minus the refund amount entered above. Display only |
Refund payee | Line of credit correspondent to which the refund will be paid. This comes from the line-of-credit, master-account record. Click the drop down arrow to select the payee |
Refund method | Click the drop down arrow to select the method that you wish to use for generating the payment |
When you have finished entering the information, click the Save button on the toolbar. You will see this message:
Click OK. You will be returned to the Line of Credit Refund Payment screen.