Changing Banks - Impact on AP and AR
- Accounts Payable:
- If you are ceasing to use the old bank you may choose to keep the same bank code; simply go to AP01 and change the Description and Bank GL account. Your next cheque run will credit the new Bank GL account. You also need to consider assignment of the starting cheque number, which isn't an issue if AP42 is flagged to ask for the starting cheque number (Pre-Numbered Cheques Flag=ON). The Outstanding Cheques Listing will contain cheque numbers for the old bank until they are flagged as cashed in AP86.
- If you are introducing a new bank and you want to reassign some vendors to the new bank code:
- Accounts Receivable:
- If you are ceasing to use the old bank, you may choose to keep the same bank code and simply go to AR02 and change the Description and Bank GL account. Your next cash receipts run will debit the new Bank GL account.
- If you are introducing a new bank:
- If you are changing a customer's Bank Code and the Bank's currency changes (e.g. from Euro to US$):
- The programs that show the customer's account details will be a mix of currencies. The invoice amount is displayed/reported in the foreign currency.
- For example, an invoice is processed in Euro, then the customer's Bank is changed to US$ and then another invoice is processed. One invoice will be in Euro and the other in US$, but you only know the Bank assignment (and therefore currency) in programs like the Overdue Analysis (AR83), Aging Report (AR84), Customer Statements (AR85) and Customer Display (SU45/C3). In programs that have a Bank Restriction (AR83/AR84), if you choose to report only the US$ Bank, both invoices for that customer will be reported because the restriction is looking at the customer's current Bank assignment in SU13.
- In this scenario, it would be better to set up another record for the same customer in SU13 that points to the US$ bank.