Making an Outbound Payment to Vendors

IMPORTANT: Please contact your Customer Success Manager for more details about Outbound Transactions

To make an outbound transfer or payment user can follow the existing flow when paying expenses. The new option is available as a new payment type both in the Expense Payment Info pop up which appears when user selects Submit & Pay from an Expense or from the New Expense Payment Preparation page which appears after selecting one or many expenses to be paid from the Pay Expenses page.

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There is a caveat where only users with the AP Accounting Full permission set will be able to Approve or Reject an Outbound payment. All approvals, pending or completed, can be found under the Finance > Accounts Payable > Payments Run tab

 

When user approves this type of payment, system will send an email to the vendor in question with instructions on how to receive the payment. The payment can be received in one of three possible methods from the vendor. On the first payment/email, the vendor or recipient of the funds will have to create an account with Dream which will provide them access to a portal. In this portal, the vendor, among other information, will be able to enter their bank account information, select a default method to receive their funds, as well as access a history of all their payments. The possible payment methods are:

  1. Electronic Funds Transfer (EFT) - to accept funds by EFT the vendor has to enter their bank information so a direct link can be created between Dream and the bank. This type of transfer takes 1-3 business days to complete due to the nature of the payment and banking system
  2. Virtual Credit Card - A vendor can accept payments as a virtual credit card without the need to enter any bank account information. This is the fastest method to accept funds, consisting of only a few mins. If vendor chooses this option, Dream will generate a virtual credit card for the vendor within a few mins, and allow the vendor to access it from the portal. The card can be used online as a regular credit card is commonly used, however the vendor will not receive a physical card.
  3. Cheque - A vendor can accept the payment by cheque if they choose to. This is the slowest method to receive funds where it might take from 5-10 business days. No additional action needs to be taken by the sender, Dream will cut and send the cheque to the vendor

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The system will also track the transaction and provide visibility on its statuses from an updated UI under the Status History tab of an Expense. When the Transfer Status field changes to Completed, the payment will be considered as completed and that’s when the system will create the journal entry of debiting AP and crediting Cash.

The system will also track the transaction and provide visibility on its statuses from an updated UI under the Status History tab of an Expense. When the Transfer Status field changes to Completed, the payment will be considered as completed and that’s when the system will create the journal entry of debiting AP and crediting Cash.

Users will be able to Cancel a transfer but only as long as the Transfer Status field on the payment is in one of the following statuses: ACCEPTED or EMAIL SENT, PENDING TRANSFER. After user cancels a transfer, they will have an option to create another payment from the now unpaid Expense. 

 

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