Although availability of a central accounts receivable system has been previously communicated to the university community, several units are bypassing the Accounts Receivable system. Monthly correspondence is sent out by Accounts Receivables to all customers with overdue balances. Independent departmental billings that do not flow centrally through Accounts Receivables impedes the deposit of centrally received payments. Referencing on the payment stub is often recognizable only to the department issuing the request for payment. This delays the deposit and requires considerable research to determine where to distribute the cheque.
Customers usually make payment to a central office.
Sometimes the customer makes a multiple item payment. If Accounts Receivable is unable to identify the reference because of incorrect invoicing procedures, the inappropriately applied and untimely distribution of funds may cause customer irritations. Additionally the delay in distribution may result in a loss of revenue to the departmental account for that accounting period. The timely ability to deposit a multiple item payment is enhanced by utilizing the central Accounts Receivable module. Accounts Receivables credits the department accounts upon receipt of the invoice into the Accounts Receivable module.