EFT Walkthrough Guide - BMO Capital Markets€¦ · A computerized Reconciliation Report which coincides with the customer’s accounting cycle, is ... you of the test results

The use of DirectCheque is subject to the terms of a User Agreement. DirectCheque is a trademark of the Bank of Montreal. All other brands and names used herein may be trademarks of their respective

DirectCheque

Operating Guide .

owners. This document is protected under International copyright laws. No part of this document may be reproduced without the prior written authorization of the Bank of Montreal.

D I R E C T C H E Q U E O P E R A T I N G G U I D E

Contents General....................................................................................................................1

Service Description ...................................................................................................................... 1 Introduction ............................................................................................................................. 1 DCH Service............................................................................................................................ 1 Pseudo Transit and Account Number ...................................................................................... 1 Dollar Value Limit................................................................................................................... 2 File Transfer Facility (FTF) Option......................................................................................... 2 Cheque Storage........................................................................................................................ 2 Funding Option........................................................................................................................ 2

Reconciliation Options................................................................................................................. 3 Introduction ............................................................................................................................. 3 Partial Reconciliation .............................................................................................................. 3 Full Reconciliation .................................................................................................................. 3

Implementation ......................................................................................................4 Cheque Specifications.................................................................................................................. 4

Introduction ............................................................................................................................. 4 Order and Delivery .................................................................................................................. 4 Specifications .......................................................................................................................... 4 Important: Re-Ordered Cheque Stock ..................................................................................... 5

Operation of Service ..............................................................................................6 Stop Payment Orders.................................................................................................................... 6

Introduction ............................................................................................................................. 6 Operations Service Centre Procedures .................................................................................... 6 Cumulative Stop Report .......................................................................................................... 6 Daily Stop Report .................................................................................................................... 7

Problem Resolution...................................................................................................................... 8 Introduction ............................................................................................................................. 8 Encoding Errors....................................................................................................................... 8 Missing Cheques/ Payment errors ........................................................................................... 8

Input Forms............................................................................................................9

October 2006 i


Stop Payments, Form 15018 ........................................................................................................ 9 Introduction ............................................................................................................................. 9

Trace Request, Form 15026 ....................................................................................................... 12 Introduction ........................................................................................................................... 12 Procedure............................................................................................................................... 12

Range of Stop Payments, Form 15045....................................................................................... 14 Introduction ........................................................................................................................... 14

Input Reports .......................................................................................................17 Balance Sheet, Form 15021 ....................................................................................................... 17

Introduction ........................................................................................................................... 17 Output Reports....................................................................................................20

Daily Paid Reject Report, Report CRP 92003-13 ...................................................................... 20 Introduction ........................................................................................................................... 20

Recap of Posted Items, Report CRP 92005-32 .......................................................................... 22 Introduction ........................................................................................................................... 22

Diagnostic Summary Report, Report CRP 92005-35................................................................. 25 Introduction ........................................................................................................................... 25

Report Messages ........................................................................................................................ 28 Introduction ........................................................................................................................... 28

Index......................................................................................................................32

October 2006 ii


General Service Description

Introduction DirectCheque (DCH) is a low cost, fully automated cheque processing and reconciliation service. An overview of the service follows.

DCH Service DCH provides a combination of:

• First Bank Automated Clearing Services (FACS), and

• The more conventional account reconciliation options.

Note: For details on the reconciliation options available (see page 3).

Features also include the ability to:

• Inquire on the status of a DirectCheque item

• Place a stop payment (see page 6)

• View or download images of processed items

Your company issues special DirectCheque cheques which look like regular cheques, except that they contain a unique transit, account and cheque serial number in the MICR (Magnetic Ink Character Recognition) encoding field. Rather than being processed through your main branch of account, your cheques are automatically processed through the Bank’s Automated Clearing System.

Pseudo Transit and Account Number The high degree of automation of this service is achieved by:

• processing large volumes of cheques on pseudo transit and account numbers, then

• posting only the total amount of the captured cheques to a regular current account (which corresponds to each pseudo account) at your branch of account.

Current Account Number The current account number of your branch of account is reflected on your balance advice, funding and account statement.

Pseudo Transit and Account Number The pseudo transit number, beginning with “9” or “8”, and the pseudo account number appear on your cheques.

The pseudo transit and account number are used for all of the following transactions:

October 2006 1


• stop payment processing

• cheque negotiation

• issue data

• reconciliation report and control forms

• encoding errors

• missing or disputed cheques

Dollar Value Limit In accordance with Canadian Payment Association Rules (Rule A1 Part III section 11) no Canadian Dollar paper item exceeding $25,000,000 shall be introduced into the clearing.

File Transfer Facility (FTF) Option FTF allows you to transmit your issue data to the Bank and receive paid data, the Daily Stop Report and the Paid No Issue report from the Bank via electronic transmission.

Cheque Storage The standard DCH product does not include cheque storage.

Funding Option

Zero Balancing Option (standard) Amount is debited the same day the cheques are cleared.

Pre-funding Option Cheques are funded the same day they are issued by the company. The Bank then balances the outstanding cheques to the balance in the account.

October 2006 2


Reconciliation Options

Introduction Partial and Full reconciliation options are available with DirectCheque.

Partial Reconciliation

Plan 1 – Paid Cheque Listing (on paper) with sorted cheques: A computerized Reconciliation Report which coincides with the customer’s accounting cycle, is provided. The Report lists paid cheques in serial number order, showing serial number, dollar amount and paid date. An option is also available to identify outstanding cheques. All you do is supply the serial number range of cheques issued. Under this plan, paid cheques are sorted in serial number order and returned to you in convenient storage boxes.

Plan 2 – As Plan 1, but with data output by File Transfer Facility (FTF): In addition to the Plan 1 features, you receive paid cheque data by electronic transmission.

Full Reconciliation

Plan 5 – Matching of Paid Cheques to Customer Supplied Issue Data: This plan is designed for companies that require a complete reconciliation package. Customers supply the Bank with issue data by electronic transmission. A hardcopy printout is provided which matches and lists all cheques issued and paid, in serial number order. The printout shows serial number, dollar amount, paid date, issue date and provides totals of cheques paid and outstanding. All paid cheques are sorted in serial number order and returned to you in convenient storage boxes.

October 2006 3


Implementation Cheque Specifications

Introduction To facilitate operation of the DirectCheque service, your company cheques should be MICR encoded to meet the specifications of the Canadian Payments Association (CPA) and the Bank’s Account Reconciliation Services

Order and Delivery Special cheque stock (including MICR encoded cheque copies, if applicable) should be ordered from your printer. The appropriate MICR Cheque Specification and Supplement forms will be provided to you by your Bank of Montreal Implementation Specialist. Allow your printer 6 weeks delivery time.

Specifications Specifications are as follows;

1. Your cheques are required to be MICR encoded as shown on the “Cheque Layout for Image and MICR Encoding” specifications sheet, which can be obtained from your Cash Management Representative. Encoding requires inclusion of pseudo transit and account number to enable cheque capturing.

Note: Each pseudo transit equates to an account.

2. An alphanumeric routing symbol is required in the upper right hand corner of the cheque. This alpha symbol denotes the OSC. The numeric figures identify the transit of your branch of account.

3. Your cheque serial numbers require a modulus 9 check digit in the low order (right hand) position of the MICR serial numbers. Serial numbers may be between 6 to 10 digits, including the check digit. Details describing the modulus 9 check digit are indicated on the specification sheet.

MICR Testing

The Bank requires a sample of 50 cheques to facilitate MICR Quality testing. These are to be taken from the beginning, middle and end of the entire initial print. Forward the samples to your Implementation Specialist at least 21 business days prior to implementation of service.

Within 5 business days of receipt of the sample cheques your Implementation Specialist advises you of the test results. If the MICR Quality test results are deemed “Unacceptable”, you need to provide 50 new sample cheques for another MICR Quality test, until the test results are deemed “Acceptable”. The implementation date may have to be rescheduled, affecting the start date to be able to issue cheques.

October 2006 4


Please note: Do not issue any cheques prior to your Implementation Specialist advising you that the cheque test results are “Acceptable” and the service is ready for usage. Should cheques be issued prior to the Implementation Specialist’s advice, the Bank’s Operation Service Centre may reject and return the cheques as unprocessable or apply a manual processing per item service charge to your account.

Important: Re-Ordered Cheque Stock All new cheque stock is required to be tested, as described above, prior to use, to ensure automated processing is not affected. Per item service charges to your account may apply if cheques fail automated processing and need to be manually handled.

Cheques are required for testing a minimum of 21 business days prior to issue

October 2006 5


Operation of Service Stop Payment Orders

Introduction The DirectCheque Inquiry and Stop Payment Service, which supports the DirectCheque product, is one of a number of services you can access through DirectLine for Business. DirectLine for Business is Bank of Montreal’s system for delivering the Bank’s products to clients electronically. The DirectCheque Inquiry and Stop Payment service via DirectLine for Business allows you to perform the following functions:

• Inquire on the status of a DirectCheque item

• Place a Stop Payment if the inquiry shows the cheque not paid

• Remove a previously placed Stop Payment if the inquiry shows the cheque has not yet been presented

• View or download images of processed cheques

Note: For further information on the DirectCheque Inquiry and Stop Payment Service via DirectLine for Business, refer to the online Help Screens which can be accessed from any screen within the system by clicking on the “Help” link located on the main menu. The Help information provides you with a description of the screen functions and how to use the particular screen in question.

For contingency purposes, for example, in event of a DirectLine for Business outage, and for customers not accessing the DirectCheque Inquiry and Stop Payment service via DirectLine for Business, your Operation’s Service Centre will perform stop payment functions on your behalf.

Operations Service Centre Procedures The following Forms are used to place or remove stop payment orders:

• Stop Payment, Form 15018 (see page 9 for completion instructions)

• Range of Stop Payments, Form 15045 (see page 14 for completion instructions).

For same day placement, fax the form prior to 1:30pm local time to your commercial services group.

Cumulative Stop Report A Cumulative Stop Report can also be made available periodically for pick-up with your confirmed stop forms.

October 2006 6


Daily Stop Report The Daily Stop Report is available via hard copy or File Transfer Facility (FTF).

October 2006 7


Problem Resolution

Introduction Follow the procedures outlined below to resolve error situations. When returning forms and other corresponding documentation or items, return them to your branch of account. If you normally deal with a servicing branch, return them in an envelope addressed to your branch of account.

Encoding Errors Errors Under $20.00

Return a copy of the item (front and hack) to your branch. The error is corrected by a single posting to your account. A credit/ debit is returned to you explaining the transaction. The paid report (and transmission paid output, if applicable) will not be affected.

Errors Over $20.00

Return the cheque to your branch. Your account is credited with the erroneous amount. The cheque is certified for the correct amount. The cheque will appear with the subsequent cycle-end reports (and electronic transmission paid output, if applicable) as paid for the correct amount on the date certified.

Missing Cheques/ Payment errors Notify your commercial services group. Provide the following information for disputed payment of cheques:

• serial number (from top right body of cheque), excluding the modulus 9 check digit

• paid date and locator number (from Account Reconciliation Report “Additional Data” field)

• amount

• reason for return

• any other pertinent information.

October 2006 8


Input Forms Stop Payments, Form 15018

Introduction For customers not accessing the DirectCheque Inquiry & Stop Payment service via DirectLine for Business, use the following Forms as appropriate to place or remove stop payments:

• Stop Payments, Form 15018 - use when stop affects individual serial numbers

• Range of Stop Payments, Form 15045 - use in exception cases, e.g., stolen cheque stock affecting an entire range of serial numbers (see page 14)

Field descriptions and completion instructions for Form 15018 follow. A sample is shown on page 11.

Field Description

Pseudo Transit and Region This is the transit number shown in the MICR line at the bottom of the cheque to the immediate right of the cheque serial number. It begins with a “9” or “8” and is comprised of 5 digits.

Enter the 5 digits in this field. Include all zeroes.

Pseudo Account No. Enter the 7-digit account number shown to the right of the transit number in the MICR line on the bottom of the cheque.

Cheque Serial No. Enter the serial number printed on the body of the cheque. This serial number excludes the modulus 9 check digit.

Note: The encoding positively identifies the cheque to be stopped. Please avoid errors (e.g., giving the serial number from the MICR line which includes the modulus 9 check digit) as they will result in incorrect stop payment placement

Bank Use Only This section is completed by the Bank the day the stop order is removed or placed. It is not included on the Range of Stop Payments Form as there is no practical way to confirm a range.

Already Paid

The cheque was paid prior to stop order placement.

Stop Placed

The cheque will not be paid, as directed.

October 2006 9


Field Description

Other

Other conditions which may arise. E.g. Upon validation, serial number or account number may be found to contain input coding errors.

Date

The date the order was placed.

Date Date the Form

Time Received in Branch Bank to complete

Time Sent Enter the time you sent the stop order to the Bank.

Total Transactions Enter the total number of stop payment orders and remove stop orders which were recorded on the Form after the last transaction.

Initials Bank to complete

Company Name Enter the name of your company

Authorized By Signature of authorized signing officer.

Confirmed by Bank Bank to complete.

October 2006 10


Figure 1. Stop Payments, Form 15018

October 2006 11


Trace Request, Form 15026

Introduction DirectCheque Trace Request, Form 15026, enables you to:

• determine the status of your cheques, and

• obtain a photocopy of the paid item.

Trace requests are responded to within 5 business days of receipt.

The procedure for requesting tracing of an item follows. Form 15026 is shown on page 13.

Procedure 1. Complete Form 15026 with the following information:

• serial number (excluding the modulus 9 check digit)

• amount and issue date of cheque

• paid date, if your are requesting a copy of the paid item.

2. Sign the Form.

3. Forward to your branch of account.

October 2006 12


Figure 2. Trace Request, Form 15026

October 2006 13


Range of Stop Payments, Form 15045

Introduction For customers not accessing the DirectCheque Inquiry & Stop Payment service via DirectLine for Business, use the following Forms as appropriate to place or remove stop payments:

• Stop Payments, Form 15018 - use when stop affects individual serial numbers (see page 9).

• Range of Stop Payments, Form 15045 - use in exception cases, e.g., stolen cheque stock affecting an entire range of serial numbers.

Field descriptions and completion instructions for Form 15045 follow. A sample is shown on page 16.

Field Description

Pseudo Transit and Region

This is the transit number shown in the MICR line at the bottom of the cheque to the immediate right of the cheque serial number. It begins with a “9” or “8” and is comprised of 5 digits as follows:

• the 4 digit transit number, followed by

• a one-digit region code.

Enter the 5 digits in this field. Include all zeroes.

Pseudo Account No.

Enter the 7-digit account number shown to the right of the transit number in the MICR line on the bottom of the cheque.

Cheque Serial No. Enter the serial number printed on the body of the cheque. This serial number excludes the modulus 9 check digit.

Note: The encoding positively identifies the cheque to be stopped. Please avoid errors (e.g., giving the serial number from the MICR line which includes the modulus 9 check digit) as they will result in incorrect stop payment placement

Comments This field is for customer use. You may, at you discretion, wish to note reason, department, code, etc.

Customer Enter your company name

Sent By Customer Note the date the Form was delivered to your branch

Time Enter the time you sent the stop order to the Bank.

Branch Enter the name of your branch of account.

Total Transactions Enter the total number of stop payment orders and remove stop orders which were recorded on the Form after the last transaction.

Received By Br Bank to complete

Time Bank to complete

October 2006 14


Field Description

Initials Bank to complete

Depositor Sign in the space provided

October 2006 15


Figure 3. Range of Stop Payments, Form 15045

October 2006 16


Input Reports Balance Sheet, Form 15021

Introduction Balance Sheet, Form 15021, accompanies your DCH output.

Each of the amounts on the Balance Sheet is the total of corresponding amounts on your Current Account Statement. Miscellaneous debit or credit slips are attached for all sundry debits or credits.

The Paid Cheques total corresponds to the total on the paid cheque Reconciliation Reports (and electronic transmission paid output, if applicable). If any corrections run into the following cycle, they are explained at the bottom of the Form.

The Balance Sheet is shown on pages 18 and 19.

October 2006 17


Figure 4. Balance Sheet Part 1, Form 15021

October 2006 18


Figure 5. Balance Sheet Part 2, Form 15021

October 2006 19


Output Reports Daily Paid Reject Report, Report CRP 92003-13

Introduction Daily Paid Reject Report, Report CRP 92003-13, lists paid items that have been rejected.

Field descriptions follow. The Report is shown on page 21.

Field Description

ACCOUNT NO. DCH account number.

DATE Date Report created.

SERIAL NO. Cheque serial number.

TRAN CODE Transaction code. An ‘R’ next to this number indicates that this is a manually entered paid item.

DATE Date of transaction.

AMOUNT Dollar amount.

SEQ. NO. The sequence number is a trace number for descriptions of internal Bank purposes.

REASON Audit or error message. For descriptions of messages, see page 28.

ON FILE DATA This information shows what is on the Bank’s Check Detail File after the transaction has been posted. For reverse, remove or delete transactions, the date and amount fields are printed to show what is being deleted.

ISS DATE Issue date. An ‘R’ next to this date indicates that this issue was manually entered.

PD DATE Paid or stop date. An ‘R’ next to this date item was manually

SEQ NO. Sequence number.

AMOUNT Dollar amount.

CODES Status codes. Used for internal Bank purposes only.

LIST POST ERRORS Total item count and dollar amount of paid rejects for the account.

October 2006 20


Figure 6. Daily Paid Reject Report, Report CRP 92003-13

October 2006 21


Recap of Posted Items, Report CRP 92005-32

Introduction Recap of Posted Items, Report 92005-32, is a daily summary for the reconciliation period of paid cheques, issues, stops, cancels and stops removed. Only current items are shown. Once an item has been through reconciliation, and that reconciliation has been purged, the item is no longer considered current regardless of its date. Backdated items are considered current until they have been through reconciliation and its subsequent purge.

Stops and cancels without issues are reflected in the item count but not in the dollar totals. They remain on file until the next reconciliation. If the issue is entered during the next period, it is reflected on the Recap of Posted Items.

Each account has the option to drop paid items without a corresponding issue after each reconciliation. Paid-no-issues that are not automatically dropped remain on file until they are purged or the corresponding issue is entered. If the issue is entered, the information remains on file until after the next reconciliation. This allows the issue information to be shown on the Recap of Posted Items.

The Report can be used to balance paid and issue input. A balance sheet is printed at the end of the Report. It provides an automated settlement for outstanding items.


Field Description



AS OF Cut-off date. Items entered through this cut-off date will be included in this reconciliation.

DATE Date (issue date or paid date) on which activity to be reconciled occurred.

PAID CHEQUES Number of current paid items with this paid date on the Bank’s Check Detail File and total dollar amount of these issues.

ISSUES Number of current issues with this issue date on the Bank’s Check Detail File and total dollar amount of these issues.

STOPS PLACED Number of current items with stops that have this date in the paid date field on the Bank’s Check Detail File and total dollar amount of these stops.

STOPS REMOVED Number of current items that have had stops removed on this date (the paid date field on the Bank’s Check Detail File) and total dollar amount of the stops removed.

CANCELLED Number of cancelled items that have this date in the paid date field on the Bank’s Check Detail File and total dollar amount of these cancels.

October 2006 22


Field Description

TOTALS Totals of all current paid cheques, issues and cancelled items for this reconciliation.

SUMMARY

Field Description

PREVIOUS OUTSTANDING Total dollar amount from previous reconciliation period.

NEW ISSUES Total dollar amount of new issues (from detail portion of this Recap Report).

PAID-NO-ISSUES Total dollar amount of current paid-no-issues (from Report CRP 92005-35, Diagnostic Summary Report). Force posted paid items are included in this total.

STOPS REMOVED Total dollar amount of stops removed (from the detail portion of this Report).

STOP PAYMENTS Total dollar amount of stop payments (from the detail portion of this Report).

CANCELLATIONS Total dollar amount of cancellations (from detail portion of this Recap Report).

PREV PNI ISSUE RECVD Total dollar amount of previous period paid-no-issues for which issues have now been received (from Report CRP 92005-35, Diagnostic Summary Report).

PREV STOP ISSUE Total dollar amount of previous period stopped items for which issues have now been received (from Report CRP 92005-35, Diagnostic Summary Report).

PREV CANCEL ISS RECEIVED

Total dollar amount of previous period cancelled items for which issues have now been received (from Report CRP 92005-35, Diagnostic Summary Report).

PAID CHEQUES Total dollar amount of paid cheques (from detail portion of this Recap Report).

PREV 0/S DELETED Total dollar amount of previous period outstanding items which have been deleted.

NEW OUTSTANDING Total dollar amount of outstanding after this reconciliation.

October 2006 23


Figure 7. Recap of Posted Items, Report CRP 92005-32

October 2006 24


Diagnostic Summary Report, Report CRP 92005-35

Introduction Diagnostic Summary Report, Report CRP 92005-35, is an exception Report. It lists all exception items shown on your Reconciliation Report (Form 7519 or 7768). Exception items are identified by a code to the right of the item on the Reconciliation Report. The Diagnostic Summary Report shows:

• account number

• serial number

• amount

• paid date

• issue date

• cross-reference to the page number on the Reconciliation Report where the item appears

• reason the code appeared.

Summary totals are given for all classifications of items on the Report, e.g., total of all cancelled and total of all stopped items.


Field Description



REPORT Reconciliation Report that produced this Reconciliation Diagnostic Summary.

SERIAL NUMBER Cheque serial number.

AMOUNT Dollar amount of item.

PAID DATE Paid/stop/cancel date.

SEQ NO. Sequence number used by the Bank to trace this item.

ISSUE DATE Issue date as recorded on the Bank’s Check Detail File.

ADDITIONAL DATA Any additional data found on the Bank’s Check Detail Record for this item.

PAGE NO. Page of the Reconciliation Report on which this exception item is noted.

EXCEPTION CONDITION

Reason this item had an exception code.

October 2006 25


SUMMARY OF EXCEPTION ITEMS

Field Description

TOTAL CNT Number of items in each category

TOTAL AMOUNT Dollar amount of items in each exception category.

PAID-NO-ISSUE THROUGH CANCELLED WITH STOP

All items appearing to the extreme left on the bottom of the Report indicate exception categories.

October 2006 26


Figure 8. Diagnostic Summary Report, Report CRF 92005-35

October 2006 27


Report Messages

Introduction Your output reports may contain various error/information messages. A description of each message and appropriate action to be taken, if any, provided in the following tables.

NOTE: *Rejected item

MESSAGE MEANING

*ADDL DATA REJECTED WITH ISSUE

An additional data record is being rejected because the issue for the same serial number was rejected.

*AMTS UNEQUAL The stop transaction did not have the same amount as the item on file.

*CANCEL INVALID – ITEM STOPPED

A cancel transaction was against an item that has already been stopped.

CANCEL POSTED – NO ISSUE

A cancel was posted with no corresponding issue on file.

CANCEL REMOVED Cancel was removed from an item.

CANCELLED WITH STOP A stopped item has been cancelled.

CERTIFIED CHEQUE A certified cheque entered by a transaction (TC47) has been added to the system.

*CHEQUE PREVIOUSLY ISSUED

An issue has been received for a cheque that already exists on file as issued.

*CHEQUE STOPPED PRIOR TO PAYMENT

A payment appears for a cheque that you stopped before the payment record was received.

*CHEQUE VOIDED PRIOR TO PAYMENT

A payment appears for a cheque that you cancelled before the payment was received.

DELETED TRANSACTION Item was deleted by a reversal transaction.

DROPPED PAID FROM LAST PERIOD

Old items paid that have been through reconciliation are being purged from the file.

*DUP INPUT Two stops for the same item were entered the same day. The second stop rejects.

*DUPLICATE INPUT A duplicate transaction appears in your issue data.

DELETED TRANSACTION Item was deleted by a reversal transaction.

DROPPED PAID FROM LAST PERIOD

Old items paid that have been through reconciliation are being purged from the file.

October 2006 28


MESSAGE MEANING

*DUP INPUT Two stops for the same item were entered the same day. The second stop rejects.

*DUPLICATE INPUT A duplicate transaction appears in your issue data.

*DUPLICATE PAID RECORD MM/DD/YY

Cheque seems to have been paid twice. Date on file is when item was paid.

ISSUE ADDED A cheque that matches on serial number with a paid or issue transaction disagrees in amount. This type of error is normally corrected by the Bank’s OSC. If. however, it went undetected, verify the dollar amount and proceed as follows:

If Issue Amount Incorrect

Submit Form 15032, New/Change Issue Data. Use transaction code 15.

If Issue Amount Correct & Paid Amount on Body of Cheque Correct

The error is on the MICR encoding line where the Bank encodes the amount.

Proceed as follows:

If Encoded Amount Greater than Amount on Body of Cheque:

Advise the Bank to credit your account with the difference and to correct the paid amount on your reconciliation.

If Encoded Amount Less than Amount on Body of Cheque:

Advise the Bank to debit your account with the difference and to correct the paid amount on your reconciliation.

ISSUE CANCELLED An issued item has been cancelled removing its amount from all totals.

ISSUE FOR RECONCILED CHEQUE

An issue has been received for a cheque that has been issued, paid and reconciled.

ISSUE POSTED - CANCEL ON FILE

An issue was posted with a cancel already on file for the item.

ISSUE POSTED - STOP ON FILE

An issue was posted with a stop already on file for the item.

ISSUE PURGE A purge of old outstanding items has been requested.

October 2006 29


MESSAGE MEANING

ISSUE REVERSAL An issued item has been reversed off the file. If it was matched, the paid remains. If it was stopped or cancelled, those indicators remain.

*ISSUE STOP/CANCEL AMT UNEQUAL

An issue, stop or cancel transaction was rejected because its amount did not match the amount already on file for the item. Verify dollar amount.

ITEM POSTED-ISSUE DATA MISSING

A paid item was posted with no corresponding issue on file. The message prints because you have taken the option to flag all paid items entered for which there is no issue data already on file.

*ITEM PREVIOUSLY CANCELLED

A cancel transaction was against an item already cancelled.

MAXIMUM DOLLAR LIMIT EXCEEDED

Paid item was flagged because its dollar amount exceeded the maximum amount set by your company.

NO ISSUE RECORD FOUND No issue record was found for a change issue transaction. Verify the serial number.

*NO RECORD FOUND FOR ADD DATA

No cheque was found to add additional data to the cheque.

*NO RECORD FOUND TO REMOVE CANCEL

No record found for transaction 27 - Remove Cancel

*NO RECORD TO REVERSE A reversal transaction has been issued and no matching cheque was found.

*PAID AMT DISAGREES WITH ISSUE

A paid item is being rejected because its amount does not agree with the amount of the issue for the same serial number already on file. This type of error is normally corrected by the Bank’s OSC. If, however, it went undetected, see “ISSUE AMT DISAGREES WITH PAID” for action to be taken.

PAID PURGE A purge of old paid-no-issue items has been requested.

PAID REVERSAL A paid item has been reversed off the file. If it was matched, the issue remains on file.

*PREV CANCELLED The item has already been cancelled.

*PREV PAID The stop was rejected because the item had been paid.

*PREV STOPPED The item has been stopped and the paid presented and rejected.

RANGE RECORD A range record is on file or was entered today.

October 2006 30


MESSAGE MEANING

RANGE RECORD AUTOMATIC DROP

A range record is being automatically dropped because it has been on file for more than 6 months and has no detail records within its serial number.

RANGE RECORD PURGE A purge of old range records has been requested.

*RECORD IS NOT CANCELLED

Transaction 27 - Remove Cancel was against an item which was not cancelled.

*RECORD TO BE DELETED NOT FOUND

A cheque to be deleted could not be located on file. Verify the serial number of the cheque to be deleted.

RE-ENTERED PAID CHEQUE

A manually entered paid cheque was added to the file.

REQUESTED DROP OF OLD RANGES

A range record is being dropped from the file due to a range record purge.

*REVERSAL FOR ITEM NOT PAID

A reversal transaction has been issued against a cheque that was not paid.

RMV STOP RJCT A remove stop transaction was rejected because the item was not on file, was not stopped, amounts did not match, was a duplicate or had a zero serial number.

STALE DATE ITEM ISSUE XX/XX/XX

Paid item was flagged because it was prior to the oldest date acceptable to your company.

STOP DELETED A stop has been deleted using transaction code 35.

STOP DROPPED A stop has been dropped automatically after the number of months specified in the Client Master File.

STOP PLACED A stop has been placed against an item.

STOP REMOVED A stop has been removed from an item.

STOPPED CHEQUE A paid item has been rejected because the item was stopped.

*TRANS AMT NOT EQUAL AMOUNT ON FILE

The amount of a reverse, remove or delete transaction did not match amount on file. Verify dollar amount.

*VOLID INVALID - ALREADY PAID

You are trying to cancel a cheque that has been paid.

XXXXXXXXXXXXXXXX DELETED

A record was deleted from the Cheque Detail File with a delete transaction (TC35). The status of the item being deleted will be printed.

*ZERO SERIAL A stop was entered with a zero serial number.

October 2006 31


Index

B

Balance Sheet · 18

C

check digit · 4, 7 Cheque Specifications · 4 Cheque Storage · 2 Cumulative Stop Report · 8

D

Daily Paid Reject Report · 21 Daily Stop Report · 2, 8 Diagnostic Summary Report · 24, 26

E

Encoding Errors · 9

F

File Transfer Facility · 2, 3, 8 Full Reconciliation · 3 Funding Option · 2

I

Implementation · 4

M

MICR Specification Sheet · 6 Specifications · 4 Supplementary Specification Sheet

· 7 Testing · 4

modulus 9 check digit · 4

P

Partial Reconciliation · 3 Payment errors · 9 Plan 1 · See Partial Reconciliation Plan 2 · See Partial Reconciliation Plan 5 · See Full Reconciliation

R

Range of Stop Payments · 15 Recap of Posted Items · 23 Reconciliation Options · 3 Report Messages · 29

S

stop payment · 1, 8

T

Trace Request · 13

October 2006 32

Documents

EFT Walkthrough Guide - BMO Capital Markets€¦ · A computerized Reconciliation Report which coincides with the customer’s accounting cycle, is ... you of the test results