There are two types of credit notes that RMS can use.
1. Allocated Credit Note.
This type of credit note allows you to target the charge that is to be
discounted by the credit figure, thus applying its negative value to that
charges associated GLAccount Code.
This type of credit note should normally be used to discount Tariff
Charges or any charge that you intend to provide funds for refunding purposes.
For Example.
If the account has a total Tariff Charge of $100.00 which is then
discounted by $10.00 using an allocated discount sundry charge and, given that
the account has been paid in full, the Cash Report will only have one figure of
$90.00 against the account code relative to the Tariff charge.
The Charges report will have $100.00 against the Tariff Account and
-$10.00 against the Allocated discount account code.
If the account has a total Tariff Charge of $100.00, which was then Paid
in full, then an allocated discount of -$10.00 applied you would have an
account balance of $10.00 credit.
The cash reports will show $90.00 against accommodation and $10.00
against suspense.
The Charge reports will show $100.00 against accommodation and -$10.00
against the discount.
You can now refund the $10.00 credit on the account.
The discount is linked to the original charge visibly
on the customers account.
The discount is absorbed into the GLAccount Code of
the targeted charge, thus adjusting the total monies allocated to that account
code on the Cash Reports.
The discount is shown separately on the Charges
Reports.
If the discount results in a credit balance on the
account it is possible to refund that credit figure.
Once applied to the account, you cannot void the
discount charge, you must void the charge that was targeted by the discount,
which will remove the original charge and the discount as one.
2. UnAllocated Credit
Note
Unallocated credit notes are used to apply a negative charge to a
customer account, but do not release funds for refund purposes.
The Unallocated credit note will reduce the amount of the 1st available
charge that has not yet been funded fully by a receipt.
Unallocated discounts should never be used to put an account in credit
for the purpose of providing a refund.
Unallocated Credits do not show separately on the cash reports and will
eventually reduce the amount of another charges account code total by the
amount of the credit note.
Unallocated Credits do show separately on the charge reports.
UnAllocated Credits can be voided at any time.
UnAllocated Credits can be posted to an account
regardless of the account balance.
UnAllocated Credits can be posted to an account even
if there are no existing charges.
UnAllocated Credits should not be used to deliberately
put an account into credit
If an UnAllocated Credit does result in providing a
credit balance you will not be able to refund that credit amount
UnAllocated Credits effect the total charge figure of
the 1st available sundry charge that is not yet paid (which is sometimes hard to
trace and can show deceiving results on cash reports)
Wherever possible you should use allocated discounts as you have control
over what is being discounted.
Allocated discounts also have the distinct advantage of allow a refund
of any credit balance left over.