Electronic Fund Transfer in NetSuite

NetSuite Electronic Bank Payments automates the creation of bank payment files, improving the efficiency of payment and collections processes. Ensure timely payment of vendor invoices, employee salaries and expenses, and sales commissions. 

Electronic Fund Transfer Workflow in NetSuite

1. Set Up Bank Accounts – Configure your company’s bank account in NetSuite, adding details such as account number, bank name, and the appropriate EFT payment file format based on your local banking standards.
2. Set Up Vendor Records – Add the vendor’s banking details (account number, routing number, and account type: savings/checking) to their record. – Enable the EFT payment option for the vendor.
3. Create Vendor Bills – Enter vendor bills in NetSuite.
4. Initiate the EFT Payment Process select the bills for EFT, and confirm EFT as the payment method.
5. Generate EFT File – Once payments are processed, NetSuite generates an EFT file in your bank’s required format (e.g., ACH for the U.S., SEPA for Europe). – Download this EFT file from NetSuite.
6. Upload EFT File to Your Bank – Log into your bank’s online portal, upload the EFT file, and the bank will transfer the payment from your account to the vendor’s.

Transactions Supporting EFT

1. Vendor Bills
2. Employee Expenses
3. Employee Commission
4. Partner Commission
5. Customer Refund

File Formats Supported in US

1. ACH CCD/PPD (NACHA)
2. ACH – CTX (Free Text) (NACHA)
3. CPA – 005 (Royal Bank of Canada)
4. PNC ActivePay (PNC Bank)