You can settle the bill of exchange when the invoice is due.

1. Click Accounts receivable> Journals> Bill of exchange> Settle bill of exchange journal.

2. Press CTRL+N to create a new journal.

3. On the Bill of exchangetab, select the remittance type and the bank account that was used when remitting the bill of exchange.

4. Click Lines.

5. In the Journal voucherform, select the customer account for the invoice and click Functions> Settlement.

6. In the Open transaction editingform, select the check box in the Markcolumn for the remitted transaction from the invoice. Close the form to transfer it to a journal line.

   If the remittance type is Discount, the default entry in the Offset accountfield is the same as the account in the Liabilities for discount accountfield for the Remittance for discount posting profile.

7. In the Journal voucherform, click Post> Post.

   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).

8. A new line with a status of Honoredand a sequence number of 1 or greater is created for the remitted bill of exchange and is shown in the Bill of exchange journalinquiry form. In the Bills of exchange statisticsinquiry form, the number in the Honored billsis increased, and the number in the Remitted billsrow is decreased.

   When you settle a bill of exchange that is remitted for discount, the Liabilities for discount account is debited and the Remit for discount account is credited.

   When you settle a bill of exchange that is remitted for collection, the ledger account for the bank used is debited and the Remit for collection account is credited.