The article has been updated successfully.Situation this applies to:
An applicant pays a security deposit to hold a unit and cancels after
the deposit has been forfeit in Propertyware.
|
Scenario Jennifer James is
interested in renting a unit from you.
She pays $500 in security deposit.
You create a Draft Lease in Propertyware and record the security
deposit charge and payment to her tenant ledger. One week later
Jennifer notifies you that she wants to cancel. Since your company has a policy of keeping
any security deposits if cancellations are done after 72 hours, you indicate
on the tenant ledger that the deposit has been forfeit. Several weeks later
you hear back from a very irate Jennifer indicating that she wants her security
deposit money refunded. As a goodwill
gesture, you decide to return the security deposit money to her even though
it has already been forfeit. |
Below are
the steps to return the forfeited deposit if the accounting period in which the
transactions occurred has not
been closed.
1.
Navigate
to the tenant’s ledger.
2. Delete the Credit Memo transaction
that was created when the security deposit was applied against the Security
Deposit Forfeit charge by clicking on the Del link.
3. Delete the Unpaid Charge for
Security Deposit Forfeit by clicking on the Del link.
4. Process Move-out as normal,
refunding the security deposit via check or ePayment (if available).
Below are
the steps to return the forfeited deposit if the accounting period in which the
transactions occurred has been closed.
1.
On
the tenant ledger, click on the Refund,
Discount, Adjustment button.
2. Select Refund.
a. Verify that the Pay from is the correct bank account.
b. For Electronic Refund? select either “No” or “Yes.”
c. If a check is to be printed, check
the To Be Printed box.
d. Verify the Payable To information is correct.
e. For the Account select the Security Deposit Forfeit account.
f.
Enter
as a negative value, the amount of the refund (in this example that would
be -$500).
g. Enter a comment explaining the
nature of the refund.
h. Click Save.
3. For checks to be printed: From the Money Out section, under the Print
Checks page, select the check to be printed, and print the check.
Below are transactions
for Jennifer James detailing all charges and adjustments (oldest at bottom)
resulting in a refund of security deposit that had been forfeit. (Steps used when the accounting period in
which the transactions were recorded
|
Transaction
|
Date |
Description |
Amount |
|
Paid Charge |
06/09/2009 |
Security Deposit charge |
$500 |
|
Deposited Payment (this
payment paid off the security deposit charge above) |
06/09/2009 |
Payment (Check #
3453) |
($500) |
|
Paid Charge |
06/19/2009 |
Security Deposit
Forfeit |
$500 |
|
Credit Memo (security
deposit is being applied against the security deposit forfeit charge). |
06/19/2009 |
SECDEP applied to
charges |
($500) |
|
Check |
06/19/2009 |
Refund -- check written to tenant – check # 10003 |
($500) |
