D365 Finance and Operations - Post Dated Checks (PDC)

Hi Folks,

Greetings!

This article will focus on setups and configurations for the postdated checks (PDC). This is the standard functionality available in D365FO. 

What are post dated checks?

Postdated checks are checks that are issued to make and receive payments on a future date. Therefore, the check can't be cashed until the specified date.

Prerequisite Setups and Configurations: 

• Create the PDC setups in Cash and bank management module and select the clearing account for check account for issued checks and check account for received checks

  

• Create method of payment PDC and select the bridging account 

Step by Step Solution

Accounts Payable Module

• Create the AP Payment journal for the vendor to record the PDC

Post the AP journal and you will get the below voucher

1. • Debit – Accounts payable
   • Credit – Clearing account issued checks
     
     
     
     

General Ledger Module:

• Create GL journal entry to perform the clearing transaction
  
  

• Post the GL journal and you will get the below voucher
  • Debit – Clearing account issued checks
  • Credit - Bank

Cash and Bank Management Module: 

• Bank Transaction Posted in Cash and Bank Management Module 

Note: The solution will remain the same for the customer and vendors, the only difference will be to create the AR journal while created PDC for customers. 

Thanks,

Ali Danish