FIACCT 05-25_10 Payments – Payment – EFT – Through Payment Tracking System

Effective: January 8, 2001
Revised: January 1, 2015
Reviewed: January 1, 2015

Purpose

This policy defines the policies and procedures for Electronic Funds Transfers (EFTs) processed through the Payment Tracking System (PTS).

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Policy

A. Agencies may establish interfaces between their subsystems and PTS for the purpose of processing EFTs, if those interfaces are approved by the Division of Finance.

B. Agencies must collect the following information and submit to the Division of Finance.
1. Payee name, address, and phone number
2. Financial institution name and address
3. Routing transit number of the payee’s financial institution
4. The payee’s bank account number
5. Type of bank account (savings or checking)

The agency is required to keep the above information on file.

C. The format of the interface is established by the Division of Finance.

D. Agencies are responsible for creating, editing, and correcting data following specifications established by the Division of Finance.

E. Interfaces must comply with specific data processing requirements established by the Division of Finance.

F. Transactions created by the interface must comply to the record format required by the Division of Finance for each transaction type. Transactions may be created in either a single entry or batch mode.

G. Documenting number on transaction interfaces must comply with specifications established by the Division of Finance.

H. If it becomes apparent that an interface in a production mode no longer complies with any of these specifications or standards established by the Division of Finance, transactions will no longer be accepted to post to the Payment Tracking System until the problem is corrected and the interface retested.

I. Prior to putting an interface into production, the agency must provide the Division of Finance with a test
interface. The Division of Finance will develop test data and cases and will thoroughly test the interface. No production transactions will be allowed from the interface until the Division of Finance is satisfied that it has acceptable accuracy and integrity.

J. Interface EFTs submitted to the Division of Finance will be loaded into the Payment Tracking System and processed the same day as receipt if received before 2:30 p.m.

K. Unless otherwise approved by the Division of Finance, whenever any transactions are submitted to the
Division of Finance via an interface, an email must be submitted to the Division of Finance. The email shall
include:

1. The feeder system code.
2. The transaction dates (s)
3. The number of transactions that will post to the Payment Tracking System
4. The dollar amount of the transactions that will post to the Payment Tracking System
5. The name and phone number of agency contact person who can answer related questions

Procedures

Initial Setup for Using EFTs

Processing EFTs

Rejected EFTs

EFTs Deposited in Wrong Account
An incorrect bank account number is submitted (the account number does not exist)

A valid bank account number is submitted by the payee, but it is not the bank account number for the payee. The money is deposited into the wrong bank account.

The payee submits a correct bank account number but the agency submits an incorrect account number. The money is deposited into the wrong bank account.

The payee deliberately submits the incorrect bank account number.