Withdrawing Certificate Funds to a General Ledger

For more information about Certificates, see Certificates.

The Adjustments - Certificate Withdrawal to General Ledger tab lets you withdraw funds from a certificate account and disburse the funds via cash, check or transfer to a general ledger account. To access the Adjustments - Certificate Withdrawal to General Ledger tab, under Financial Activity on the Portico Explorer Bar, click Financial Transactions. The Transactions tab appears on top. Locate the member using the search tool on the top menu bar. Select the down arrow to select the search method, then enter the search criteria. Select the green arrow or press ENTER to locate the member. Click the Adjustments tab. On the Adjustments tab, click the down arrow and select Certificate Withdrawal to General Ledger.

How do I? and Field Help

The Effective Date field will default to today's date. You can change the effective date by clicking the Effective Date down arrow to select a date from the pop-up calendar or entering a date in MM/DD/YYYY format (Keyword: ED). Dividend and interest calculations are based on this effective date. While future effective dating is not allowed on most transactions, you can specify a future effective date on some transactions.

Select the Dividend Correction check box if this is a dividend correction. The year-to-date dividends on this certificate will be adjusted by the amount of the transaction. The GL account number or product code will be disabled when you select the Dividend Correction check box. The system will automatically default to the dividend adjustment general ledger. Keyword: DV

To assess a fee for the transaction, click the Statement Code down arrow to select the history code that should be used when assessing the fee. The valid history codes and associated statement messages appear on the System Defined Fees window and Credit Union Defined Fees window. Keyword: SC

If desired, enter a statement message in the Statement Messages fields. The message JOURNAL VOUCHER appears on the member's statement if you do not type a message in this field. If you use a journal voucher transaction to correct a dividend amount, you must type the following message in this field: DIVIDEND ADJUSTMENT FOR MM-DD-YY where MM-DD-YY is the effective date of the transaction. Statement messages are invalid with an IRA or escrow share account, fee amount, or close account. (Statement Message 1 Length: 35 alphanumeric/Keyword: SM|Statement Message 2 Length: 44 alphanumeric/Keyword: M2)

To specify a message, the JV Message Formatfield in the Statement Options section on the Credit Union Profile – Member tab must be Y. The first Statement Messagesfield must be completed before you can enter a message in the second Statement Messagesfield. You cannot specify a message if the certificate account is an IRA account.

The Certificate Withdrawal to General Ledger Transaction Area lets you withdraw funds from a certificate account and disburse the funds via cash, check or transfer to a general ledger account.

The Label Appearance group box on the Teller Information window indicates if the product code name or general ledger account will appear on the transaction. If General Ledger is selected, tellers can enter GL numbers when processing the transaction.

Column Heading	Description
From Product	Click the down arrow to select the certificate account. This number is unique on a per member basis. The certificate number specified may range from 1 through 9999999.
To IRA W/D Cd	The IRA withdrawal code if the account selected in the From Product column is an IRA account. Click here to view the valid IRA withdrawal codes. Keyword: IW
From Amount	The amount of the withdrawal. Length: 10 numeric including decimal
To Product	Click the down arrow to select cash, check, a general ledger account, or product code. General Ledger or Product Code Keyword: GL or G1
To Branch	The branch location of the general ledger account. Keyword: BR
To Amount	The amount of the withdrawal.
To Check N	The number on the check to be disbursed, if Check is selected as the To Product. This number is automatically assigned if the credit union is using the Check Register system. The valid value must be equal to or greater than zero and less than or equal to 999999. The check number can be overridden by typing a check number in the field. Length: 6 numeric Keyword: CN
Federal Withholding	The amount of Federal withholding that will be subtracted from the IRA transaction amount. This amount is automatically calculated if the Calculate Federal check box is selected on the tab. Length: 8 numeric including decimal Keyword: WH The system will look at the Federal Withholding Percent field on the IRA Profile dialog box to determine the percentage to use to calculate the IRA federal withholding. If the Federal Withholding Percent field displays 00.00, and the Federal Withholding check box is selected, the system will use the default rate of 10.00%. The system will multiply the percentage times the interest earned to calculate the IRA federal withholding amount.
IRA State Withholding Amount	The amount of state withholding that is subtracted from the IRA transaction amount. This amount is automatically calculated if the Calculate State field on the Credit Union Profile - Shares tab is greater than 0.00 or you may manually enter the amount Length: 8 numeric including decimal Keyword: SW

When the total amount of the From Side product codes equals the total amount of the To Side product codes, click Submit to complete the transaction.

The member account listing appears on the Overview tab, Transactions tab, and Adjustments tab.

General Ledger Effects:

• DEBIT 908XXX Certificate general ledger account specified on the Certificate Profiles - Account Information tab
• CREDIT 739200 Teller cash general ledger account for a cash or check disbursal
• CREDIT XXXXXX General ledger account associated with the product code or specified on the Adjustments - Certificate Withdrawal to General Ledger tab for a transfer to GL.

Related Reports: Financial Transaction Register Report 420

Teller Balancing Effects: The Balancing and Close tab reflects the following information:

Cash Disbursal:

• Adds the total transaction amount to the CD Surrenders amount field and Cash Disbursed amount field for a cash disbursal
• Adds the total transaction amount to the CD Surrenders amount field and Checks Disbursed amount field for a check disbursal
• Subtracts the total transaction amount (certificate balance + interest - penalty - withholding) from the Currency Balance amount field and Drawer Balance amount field
• Adds the general ledger amount to the Transfers/JV amount field and adds one to the Transfers/JV count field

Transactions performed on the Adjustments - Certificate Withdrawal to General Ledger tab affect the following fields:

• Decreases the Certificate Balance field on the Certificates - General tab
• Changes the Calculated to Date field on the Certificates - Interest tab to the transaction effective date
• Increases the Unpaid Interest field on the Certificates - Interest tab
• No changes to the Purchase Amount field on the Certificates - General tab

The system calculates interest on the previous balance up to the effective date of the adjustment transaction and stores it in the Unpaid Interest on the Certificates - Interest tab. The system pays the stored amount on the next dividend posting date.

Transactions performed on the Adjustments - Certificate Withdrawal to General Ledger tab appear on the Dividends, Interest, Late Charges and Fees Maintenance dialog box and the Account Listing grid

The system-generated message JOURNAL ENTRY, or the credit union-defined message if using the SM keyword, appears on the member's statement.

Correct Procedures:

For a same-day correction, use one of the following methods to reverse the transaction:

• Reverse the transaction using the Reversals - Same-Day Reversals By CAN tab.
• Access the Adjustments - Certificate Deposit from General Ledger tab and redeposit the funds.
• Maintain the Certificates-General tab if necessary.
• If the account is an IRA account, maintain the Account Information - IRAs tab.

For a prior-day correction, use one of the following methods to reverse the transaction:

• Access the Adjustments - Certificate Deposit from General Ledger tab and redeposit the funds.
• Maintain the Certificates-General tab if necessary.
• If the account is an IRA account, maintain the Account Information - IRAs tab.

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