As of version 7.87.164, patch 14, Credit Card Management is now available as part of Accounts Payable.
Find further information in our User Guide: Financial Edge Credit Card Management

NOTE: This credit card functionality does not include any actual credit card processing
NOTE: Discount and 1099 information is not applicable when the payment method is credit card.


Prior to version 7.87.164  patch 14:

This method uses the current reports and queries to track all information and retains the 1099 information on the vendor, without the use of 1099 adjustments.

  1. Create a new bank record for the card (credit card or ATM debit card).
  2. Set up a new General Ledger account for this bank's cash account, and enter it on the bank record as the cash account.

For vendors who are paid regularly with this card, delete the distribution and bank record on their GL Distribution tab. Replace it with the new bank record and distribution. This information defaults on new invoice records.
For vendors who are paid by either check or card, maintain their distribution to the current bank, or remove the default bank and distribution information. Select the bank and distribution when creating the invoice.

When vendors are paid with the card, create the invoice and pay it with a manual check from the card's bank. You will be required to use a check number, but the number is for your internal use only.
This method tracks vendor activity accurately and retains 1099 information on the vendor without using 1099 adjustments.

Replenishing the card's Bank Account

Writing "checks" from the card's bank account will create a negative cash balance. If you have Bank Reconciliation, enter adjustments [version 7] to replenish the account. If you do not have Bank Reconciliation, follow these steps:

  1. Create a vendor for each card. The default bank on the card's vendor record should be the Accounts Payable bank used to pay the credit card's bill. The default GL Distribution account should be the cash account established for the card's bank record (step 2 above).
  2. Record an invoice for this vendor and pay it. The net effect will debit cash for the card's bank and credit cash for the real bank.
  3. For the ATM debit card, consider creating one monthly invoice on the card's vendor record and paying it. This "transfers" cash to the debit card account, maintaining a zero balance in that account. In essence, the separate bank account is a sub-ledger of your cash account.
If your Credit Card company is set up as a Vendor
  1. Apply a credit memo to the original invoice to show it as paid.
  2. Create a new invoice for the same amount  for the Credit Card vendor.