Payables & Cash Management

Get Involved. Join the Conversation.


    Surya G
    How to map Bank Acceptance in oracle payments
    Topic posted December 14, 2018 by Surya GSilver Medal: 2,000+ Points, last edited February 6, 2019, tagged Cash Management, Financials, Fusion, Payables 
    74 Views, 3 Comments
    How to map Bank Acceptance in oracle payments
    How to map Bank Acceptance in oracle payments


    There is a business requirement, there will be tie up with the bank for this process. 

    Step 1 - Group Invoices eg. 3 Suppliers => 3200USD.

    Step 2 - Customer will reach the bank and ask them to pay the invoices 

    Step 3 - The bank approves it =>3000 USD.

    Step 4 - Bank pays the suppliers for 3200 USD  and sends the Debit Advice note to the business.
    Step 5 - Bank deduct 200 USD(3200 - 3000 USD) from the current account and XX% interest as well.

    Step 6 - After 180 days, the bank deducts 3000 USD from the business Current account. 


    Can someone shower ideas on the above scenario, this needs to be achieved in Oracle fusion payments. 





    • Surya G

      Hi Friends,

      Can anyone shower some ideas on the above please. 


    • Logan Wacker

      HI Surya:

      Bank acceptance, acknowledgement, prenote and other functionality like this isn't currently possible in cloud currently. You could post this to the idea's section and try to get an ER acknowledged.



      • Surya G

        Hi Logan, 

        If there is no direct solution then we can figure workaround?


        3 Suppliers to be paid 1100 USD each, total 3300 USD 
        Banker pays 3000 USD (as a loan), 300 USD will be deducted from the current account 
        Banker debits the account for 3000 USD plus interest / charges after 180 days. 

        1. Since the payment to supplier is initiated outside the application through an agreement / request letter to bank, the same needs to be recorded as a manual payment against the supplier invoices. 
        In the above example, you will create a manual payment of 1000 USD for each of the suppliers . 
        This manual payment will be accounted as below: 

        Supplier Liability Account Debit  1000 USD 
        Cash Clearing Account Credit 1000 USD   -- the cash clearing account maybe tracked for the outstanding due to bank 

        2. For the portion of the payment which is debited immediately to the current account (300 USD), you may record a quick payment of 100 USD for each of the suppliers. 
        This will hit the bank cash account as soon as its reconciled in cash management. 

        The quick payment will be accounted as below: 

        Supplier Liability Account Debit 100 USD 
        Cash Clearing Account Debit 100 USD 

        On reconciliation: 

        Cash Clearing Account Debit 100 USD 
        Cash Account Credit 100 USD 

        3. After 180 days when bank debits the account for the outstanding (3000 USD) and interest / charges, you may reconcile the 3 payments to the bank statement line and record an external transaction for the bank charges / interest and reconcile to the statement line. 

        Accounting on reconciliation: 

        Cash Clearing Account Debit 3000 USD 
        Cash account Credit 3000 USD 

        Accounting for external transaction: 

        Offset account Debit   *** --note the Offset account can be manually keyed in as bank charges / interest account when creating the external transaction 
        Cash account Credit *** 

        Can you shower some idea on the above.

        Others suggestions are also welcomed.