Credit card setup [in-depth guide]
This guide will walk you through the process of setting up credit card-type GL accounts.
Guide contents: GL account setup | Security rights | Credit card approver | Resources
GL account setup
NOTE: Prior to creating a GL account with the account type of 'credit 'card', you must have the credit card company set up as a vendor to pay in the system.
First, we need to create a new GL account for your credit card by following these steps:
Go to Menu > Admin/manager > System setup > GL settings > GL accounts.
Click on Insert row at the bottom of the page to add a new account.
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Add an Account name (i.e. AMEX, Visa or MasterCard, etc.).
Set the Account number (typically in the liability account number range on the balance sheet).
Set the Account type to 'credit card' (which reports as a liability on financial reports).
In the Account details to the right is where you choose the vendor that you will pay for this credit card.
Make sure 'how will you use this card' is set to 'import credit card transaction data from the bank'. This is the method to use when it's a credit card used for company expenses, regardless if you use the connector or import an OFX or a CSV.
The Card users section is where you enter the names of the users you want to have access to this card in the connector.
Enter the Credit card number for the card that will be using this account.
Choose a supported Financial institution from the drop-down. If your credit card company is not listed, then you will need to import the charges via an .OFX or .CSV file, yet even importing will need to validate to a credit card number.
Alternatively, use the Plaid connection.
If you are using a supported financial institution, then you can click Test connection to verify your login credentials are correct.
NOTES:
- If you are setting up multiple cards and want to track them under a summary account, follow the steps above to set up the summary account. Then highlight the account you just created and click + to create a new account, then click the Arrow icon to move the individual card accounts nest under it. Follow the steps listed under Account details above to complete the setup of the nested account.
- If you close a card and replace it with a new card, we recommend you create a new GL account and set it up as if it was indeed new, instead of replacing the old credit card settings with the new card's details.
Security rights
The system has security rights that allow your users access to the specific features of the credit card process.
View & use the credit card connector screen
- This gives users in this security group the ability to access the credit card connector screen overall. However, you still need to add your users as card users in the Gl account setup.
View & use credit card charge entry screens
- This gives you access to the credit card charges entry screen & open existing charges that have been processed.
Add credit card charges for other employees
- This will allow your users to add credit card charges for other people (i.e. an assistant may be entering them for a manager).
Edit credit card charges of other employees
- This will allow users to edit or delete credit charges made by other users.
Approve credit card charges
- This will allow users to approve charges that are entered by an employee. The employee record should be set up with their designated credit card charge approver. NOTE: The employee's designated charge approver MUST have this security right. If not set, the submitted charge will be sent to an undesignated user that has the security right to approve credit card charges.
Post credit card transactions to the general ledger
- This will allow you to post charges in the system. Which can be associated with the approver so the charge gets posted to the ledger as soon as it's approved.
NOTE: In order for the transactions you process from the connector screen to automatically post the charge it creates, the user will need the security right of 'post transactions' from the accounting section of rights.
Credit card approver
The above steps allow you to set up the card user, which provides access to use the card. The employee record is used to designate who will be the approver of the transaction when the user creates the credit card charge.
NOTE: You can set yourself as your own credit card approver as a means to streamline the approval process and the credit card connector charge processing workflow. Confirm that you have the security right to 'approve credit card charges'.
The credit card submit for approval process looks at the following when setting the approver on the credit card charge:
1) Does the creator have the right to approve CC charges?
If yes, set as the approver
If no, go to step 2>>
2) Go to Employee record > Credit card approver
If the approver selected has the security right of 'approve credit card charges', set as approver > If the approver has 'backup approver' set and the backup approver has the security right of 'approve credit card charges', send to the backup approver.
If the approver is not selected or the designated approver/backup approver does NOT have the security right of 'approve credit card charges', go to step 3>>
3) Search for staff that has the security right of 'approve credit card charges', first found in search is set as the approver.
Resources
Credit card connector [in-depth guide]