Defining Bank Transaction Codes in Cash Management

We must define bank transaction codes in Oracle Cash Management if we wish to use Oracle's electronic bank statements with the Auto Reconciliation features. The codes used by our bank identify the different types of transactions on our bank statement. We must define a bank transaction codes for each code you expect to receive from our bank. We may define different codes for different banks.

To setup a transaction, use the Setup/Bank Transaction Codes navigation path. The transaction codes must be defined for each type of banking transaction that is defined by our bank. For instance, our bank may assign a number or alpha code to a Non Sufficient funds (NSF) transaction, which would appear on our bank. Cash Management defines the following possible types:

Payment Receipt Miscellaneous Payment Miscellaneous Receipt NSF Rejected Stopped Payment

We may define more than one code for each of these, or no code for codes not used. First, select the type of code we wish to define using the drop down menu. Then enter the bank code for that type of transaction. An optional field is to enter a clarifying description of the codes in the description field. We also have the option of creating effective date ranges that govern when the transaction codes are active. Float days is an optional field that allows us to enter the number of float days we want to add to the bank statment date to create an effective date for the transaction. This is used in conjuction which float handling in system parameters.

Next, enter the transaction source. We can leave this field blank if we want to reconcilie our statment lines to transactions that were generated in either Oracle Receivables or Oracle Payables. If we want to reconcile lines to General Ledger journal entries, select journals. To reconcile lines to items in the open interface, select interface. If the transaction type is Miscellaneous Receipt or Miscellaneous Payment, we must select the type of transactions to match, the matching order, and the correction method. This is beacuase the same code for a

miscellaneous transactions and/or corrections. Valid choices are Misc for matching only against miscellaneous transactions, stmt for matching only against statement lines, Misc stmt for first matching against miscellaneous transactions and then matching against statement lines, and Stmt, Misc for first matching against statement lines and then matching against miscellaneous transactions. Valid choices for correction method are Reversal, Adjustment, or Both. Check create automatically create a miscellaneous item transaction with an assigned transaction code for unanticipated items that appear on the bank statement; in other words, for items without a transaction number.

If we choose to create miscellaneous item transaction by checking create, we must select an activity type to assign to the item. As the last step, if we choose to create miscellaneous line items, we must select a payment method to assign to the item. The activity type is tied to the miscellaneous receipt, while the payment method is tied to the miscellaneous payment.