If a customer does not accept a bill of exchange or does not pay it on time, you can use a to change the status of the bill of exchange from to with a reference to the drawn bill of exchange.

If a customer protests a bill of exchange that is already settled with an invoice, you can change the status of the bill of exchange from to .

You cannot protest a bill of exchange that has been closed.

Protest a bill of exchange

  1. Click > > > .

  2. Create a journal and click .

  3. Select the customer account for the invoice that corresponds to the bill of exchange that is being protested.

  4. Click the tab. Verify that the remittance type is and that no bank account is selected.

  5. Click > to open the form.

  6. On the tab, select an open transaction from the invoice.

  7. Close the form.

  8. In the form, click the tab.

  9. In the field, select the reason given for protesting the bill of exchange.

  10. Click > .

    The protested bill of exchange and a related line with a status of and a sequence number of 1 or greater is shown in the inquiry form. In the inquiry form, the number in the row is increased, and the number in the row is decreased.

    When you post the journal, the Protest bill of exchange account is debited and the Bill of exchange summary account is credited.

Protest a settled bill of exchange

  1. Click > > > .

  2. In the form, press CTRL+N to create a new journal.

  3. Click the tab.

  4. Select either or for the remittance type, and then select the bank account that was used when settling the bill of exchange.

  5. Select the check box to transfer settled bills of exchange to the journal lines. Select whether to create the new lines as open payments or as invoices.

  6. Click .

  7. Select the customer account for the invoice that corresponds to the bill of exchange that is being protested.

  8. Click > to open the form.

  9. On the tab, select a transaction, and then close the form.

  10. On the tab in the form, enter an offset account.

  11. Click the tab.

  12. In the field, select the reason for protesting the bill of exchange.

  13. Click > .

    The protested bill of exchange and a related line with a status of and a sequence number of 2 or greater is shown in the inquiry form. In the inquiry form, the number in the is increased, and the number in the row is decreased.

    When you post the journal, the Protest bill of exchange account is debited and the Ledger account for the bank is credited.

    Note Note

    If you receive an error message that mentions posting restrictions, you might be set up to post only journals that you created. For more information, see Posting restrictions (form).

See Also