A transfer is a movement of funds from one bank account to another bank account. In NetSuite, bank accounts include accounts for petty cash.

NetSuite enables you to perform two types of bank transfers. You can transfer funds between two bank accounts if they share the same currency, and you can transfer funds between a base currency bank account to any foreign currency bank account.

Information on transferring funds in this topic includes:

Transferring Funds Between Bank Accounts

Two bank accounts with shared currency – You can transfer funds between two bank accounts if they share the same currency. In this transfer, the exchange rate is always one. The G/L impact of this transfer, however, is denominated by the subsidiary’s base currency. NetSuite performs the base currency translation using the transfer amount, based on the default system rate. For example, you transfer 100 EURO from an Australian bank account into another Australian bank account that uses EURO currency. The Australian subsidiary’s base currency is AUD. The exchange rate is one, but the 100 EURO is translated to an AUD amount, based on the default system rate.

Base currency bank account to foreign currency bank account – You can transfer funds between a base currency bank account to any foreign currency bank account. In this transfer, the exchange rate is the rate between the subsidiary’s base currency and that of the selected foreign currency. When you select the From and To bank accounts, NetSuite displays the default system exchange rate between the two currencies.
When you enter a value in the From Amount field, NetSuite translates the value and displays it in the To Amount field. NetSuite does not round the amount.
NetSuite automatically updates the exchange rate if:
The translated From Amount field value multiplied by the exchange rate does not equal the To Amount field value after rounding.
You change the translated value in the From Amount field.
For example, you want to transfer 100 USD from a U.S. bank account to a bank account in the U.K. that uses GBP currency. NetSuite displays the default system exchange rate, which is 1.6. When you enter 100 in the From Amount field, NetSuite translates the value and displays 62.50 in the To Amount field. If you enter 130 in the To Amount field, NetSuite updates the exchange rate field to 0.7692307692307693 (=100/130). In this case, the G/L impact is in base currency, USD 100.

To enter a funds transfer:

Go to Transactions > Bank > Transfer Funds.
In the From Account field, select the source account containing the funds that you want to transfer.
The balance of this account and its currency denomination appear next to the From Account field.
In the To Account field, select the target account to receive the funds.
The balance of this account and its currency denomination appear next to the To Account field. The Exchange Rate between the currencies in the two accounts displays below the two currency denominations.
Select the posting period for this transfer.
The period must be an open period.
Accept or select the date in the Date field.
In the top Amount field, enter the amount of funds, in the account’s currency, to be transferred from the account identified in the From Account field.
The second Amount field displays the amount to be transferred into the account identified in the To Account field, after currency translation.
Enter an optional memo.
Enter a department, class, or location if appropriate.
Click Save.

The transfer is complete and the balances for the bank accounts automatically update.

Transferring Funds to Non-Bank Accounts

In NetSuite, funds transfers are specifically transfers between bank accounts.

Transfers between bank accounts and non-bank accounts are typically achieved with checks or deposits. For example, if you pay off a loan with a check, instead of transferring funds from the checking account to the loan payable account, you write a check and choose the loan payable account for the expense.

For transferring funds to non-bank accounts, you can make general journal entries. For information about journal entries, see Journal Entries, Journal Entries Overview, and Journal Entry Preferences.

To make a general journal entry:

Go to Transactions > Financial > Make Journal Entries.
On the Journal page, enter the appropriate information as directed by instructions in the topic Making Journal Entries.

Deleting Funds Transfers

Delete a funds transfer that was made in error.

To delete a funds transfer:

Go to Transactions > Bank > Transfer Funds > List.
From the Transfers list, click Edit next to the funds transfer you want to delete.
On the Transfer page, under Actions, click Delete.
At the prompt to confirm the action, click OK.