Rethinking the Necessities of Reconciliation (Part 2)

From the first part of my blog post (Rethinking the Necessities of Reconciliation), you may recall the challenges that face your business during manual reconciliation of card payments.  They included the following:

• Inaccuracy introduced by human error
• Long hours of non-value-added effort
• Even moderate transaction volume can be truly challenging

To address these weaknesses, CardConnect has created two enterprise-class solutions for the world’s most popular ERP applications – Oracle EBS and SAP ECC.  Respectively, our solutions take on the challenges listed above by leveraging standard interfaces and APIs to deliver superior functionality as well as timely processing, error-free results and cost reductions.

For Oracle EBS

CardConnect’s Oracle EBS solution is essentially a concurrent program that connects to the processor platform on behalf of a merchant, retrieves deposit details, and writes the transaction lines into the Oracle Cash Management interface tables.  During processing, bank references are translated into receipt numbers through the CardConnect Gateway.  Afterward, the Auto Import and Reconciliation function is run to close remitted receipts in AR.  Lastly, Transfer Accounting can be used to update GL to recognize “Cash” and “Fee” line items.

For SAP

All settlements generated by SAP and sent through the CardConnect Gateway are consolidated by the clearinghouse and processed overnight. This processing initiates the funds transfer from the card issuers to your bank account. The resulting deposit information is then available through reports provided by the clearinghouse.

CardConnect’s SAP solution is able to obtain the deposit amounts and fees electronically from several clearinghouses and transfer this into SAP, storing it in custom tables. Optionally, this process can create a posting to move the funds from the payment card clearing account to the cash clearing account. The final step of moving the funds from cash clearing to cash is entered when the bank reports that the funds have cleared.

Reconciliation reports provide the accounting staff with a clear summary of the deposits and fees. The daily deposit totals are matched against the multiple settlements in SAP. Any discrepancies are prominently flagged, with drilldowns to identify individual mismatched transactions. Links may be found within the report to view the deposit information, settlements, and transactions contained within the deposits or settlements.

Have questions about reconciliation in your Oracle or SAP environment? Ask me at dkilgallon(at)cardconnect.com.