Process Dishonor Direct Debit in Xero

When processing direct debit, there may be times that members would have dishonors. Most of the time the bank would send the dishonors to the club within 1 - 3 days after processing the direct debits.

IMPORTANT: When exporting direct debit in DotGolf, the system will post direct debit payments against the invoice of the member so when there are dishonor payments, the club would need to remove these payments against the member's invoice.

1. Remove & Redo the payment from the member's invoice by going into the payment in Xero. 

2.  In Xero Go to Options > Remove & Redo

If you have more than 1 dishonors, Remove & Redo all of them fist before reconciling.

3. Go to Reconciliation screen and find the Direct Debit payments received from the bank

4. Copy the DD number  and click Go

5. Select all the payments

Please note that the "Total out" amount should be equal to the sum of the payments removed and redone in step 1 and 2

6. Click on New Transaction > Select Receive Money

7. Fill in the Reference, Description (any description they want to put in here, usually the name of the member who were dishonored per line), Unit Price, Account code is the GL code you want to put these payments and this should be the same GL code when you reconcile the dishonor transactions sent by the bank

8. Save Transaction

9. Reconcile

10. Then the transaction from the bank which was classed as Dishonor (see below) will then be reconciled against a new an item that is "Spend Money"  from Suspense account