Share Draft Processing

New Employee Training Transmissions Training Guide Share Draft Processing

This document provides comprehensive technical guidance for users on Share Draft Processing within the FLEX system. Share Draft Processing, ACH Processing, and Card Processing, along with Exceptions and Returns, are integrated into a single, fluid area within FLEX. The programs are consistent across these options, allowing all processing to be handled from any of them.

Accessing Share Draft Processing

To access Share Draft Processing:

  • Navigate to the FLEX Main Menu.
  • Select Share Drafts.
  • Choose Share Draft Processing.

Initial Setup and Transmission

Before processing can begin, the Share Draft file must be retrieved from the processor and placed in the appropriate folder on the I:drive.

Initiating Transmission

  1. Select the appropriate tab if cases are being used.
  2. Click Transmit to begin the share draft procedures.

Initiate Draft Transmission Screen

Upon clicking Transmit, the “Initiate Draft Transmission” screen appears with the following options:

  • Transmission Type:
    • Draft Processor (Case): Choose the applicable case (e.g., C – FLEX Drafts).
    • Transmission: Indicates the type of transmission. Users can choose between:
      • Receive Share Drafts: Pulls the file from the designated folder and prepares it for processing.
      • Edit File: Edits the raw file and prepares the share draft file for processing.
      • Post File: Posts share drafts to member accounts. Any drafts that cannot post will become exceptions.
      • Send Share Draft Returns: Used for sending return files back to the processor.
  • Transmission Options:
    • Receive File: (Checkbox) Pulls the file from the designated folder.
    • File To Receive: Indicates the specific file to be received.
    • Summary: Click to view a summary of the file to be received.
    • Edit File: (Checkbox) Edits the raw file.
    • Post File: (Checkbox) Posts share drafts to member accounts.
    • Effective Date: Defaults to the current date. This can be changed to a past or future date, which may impact the viewing of check images.
    • Delay Post Until: Allows users to designate a specific time during the effective date for the file to transmit. If left blank, transmission begins immediately upon clicking Process.
    • IDrive Folder: (For returns transmission) Specifies the I:drive folder for the return file (e.g., RETRNS21).
    • IDrive File: (For returns transmission) Specifies the I:drive file name (e.g., SDOUT21).
    • Build Return File: (Checkbox, for returns transmission) Builds the return file.
    • Send Return File: (Checkbox, for returns transmission) Sends the return file.

Posting Share Drafts

If the initiation process did not include posting options, you can post the file manually:

  1. Ensure Processing Mode is set to Share Draft Processing.
  2. Click Post.

Share Draft Processing: Post Screen

The “Share Draft Processing: Post” screen displays the following information:

  • Post Type:
    • Drafts: Indicates posting for drafts.
    • Exceptions: Indicates posting for exceptions.
  • Effective Date: Defaults to the current date; can be manually changed.
  • Delay Post Until: Leave blank to start immediately, or enter a time to delay.
  • Pending Exceptions:
    • Amount: Total amount of pending exceptions.
    • Number of Exceptions: Count of pending exceptions.
  • Pending Drafts:
    • Amount: Total amount of pending drafts.
    • Number of Drafts: Count of pending drafts.

Handling Exceptions

An exception is a draft transaction that cannot post due to reasons such as incorrect account number, insufficient funds, closed account, or stop payment. After a file is received and posted, all exceptions must be edited to either post or be returned.

Accessing and Editing Exceptions

  1. Set Processing Mode to Exceptions.
  2. To handle exceptions:
    • Click Edit All to access the detail of the first exception and advance to the next.
    • Highlight a single exception and click Edit to handle it individually.

Draft Exception Maintenance Screen

The “Draft Exception Maintenance” screen provides detailed information and options for each exception:

  • Exception Information:
    • View Check: (Optional feature, requires configuration with processor) Allows viewing a copy of the check.
    • Lock/Unlock: Opens selected fields for changes.
    • Return This Item? Return Code: If the draft is being returned, select a valid return code (determined by the processor).
    • Draft Amount: Displays the dollar amount of the draft item.
    • Account/Suffix: Displays the account number and suffix. If invalid, a correct account number and suffix can be entered (use Lock/Unlock to enable changes). If the corrected account has sufficient funds, no exception handling code is needed; the system will post automatically when exceptions are posted.
    • Draft Number: Displays the draft number. Can be changed using Lock/Unlock.
    • Trace Number: Displays the trace number assigned by the processor.
    • Cross Reference Number: Displays the MICR number.
  • Account Information:
    • Draft Balance: Current balance for the listed account and suffix.
    • Available Balance: Available balance for the listed account and suffix.
    • Cross Reference Number: Cross reference number for the account and suffix.
    • Share Type: Share type for the account and suffix.
    • Number of Transfers: Number of overdraft transfers for the account and suffix.
  • Overdraft Protection:
    • Charge Fee: (Checkbox) Indicates if a fee will be charged. Default is to charge; uncheck to waive.
    • Courtesy Pay Amount: Displays the Courtesy Pay amount set on the member account.
    • Reg E Opt-In: Indicates if the member has opted into Reg E.
    • Overdraft Code: Indicates the overdrafting option.
    • Overdraft Accounts: Lists accounts used for overdrafting based on the overdraft code.
  • Other Shares: Lists other shares associated with the account.
  • NSF Counts: Displays non-sufficient fund transactions:
    • MTD (Month-to-Date)
    • QTD (Quarter-to-Date)
    • YTD (Year-to-Date)
    • HTD (History-to-Date)
  • Exception Reason(s):
    • Override: (Checkbox) Check to override the exception and post the draft to the account/suffix.
    • Reason: Displays the reason(s) the draft was not posted.
    • Note: Multiple reasons may display. Only override the exception that pertains to how it should be handled.

Auto Returns

Share Draft Processing offers an auto return option that automatically marks exceptions with reasons of “NSF,” “Closed Account,” or “No Account Found” with return flags.

  • If using Auto Return, all exceptions with the reason “Multiple” will be automatically flagged with an “NSF” return code.
  • Individual exception items can still be edited if auto-return is not desired for a specific item.

Saving and Posting Exceptions

  1. Once all exceptions have been handled or returned, click Save/Finish.
  2. It is necessary to click Post until ALL exceptions have been handled/returned.
  3. After all exceptions are handled, a return file can be built.

Share Draft Returns Processing

This section details how to manage items marked for return.

Viewing and Editing Returns

  1. Select Returns in the Processing Mode drop-down. All items marked as Returned will display.
  2. To change information about a return or its return code:
    • Click Edit (for individual items).
    • Click Edit All (for multiple items).
  3. Click Add to manually input a return into the file.
  4. Restore Previous: Restores the last Returns file that was processed. Use with caution to avoid sending multiple times.

Edit Draft Return Screen

The “Edit Draft Return” screen allows for detailed modification of return items:

  • Member Account
  • Suffix
  • Name
  • Cross Reference Number
  • Amount
  • Draft Number
  • Trace Number
  • Date
  • Image Number
  • Return Code
  • Bank of First Deposit
  • Routing Number
  • Endorsement Date
  • View Check: Allows viewing a copy of the check.
  • Unlock: Unlocks fields for editing.

Initiating Draft Returns Transmission

After all returns have been reviewed, the return file is ready to be sent back to the processor:

  1. Ensure the Processing Mode shows Returns.
  2. Click Transmit.
  3. Users can then follow normal procedures to submit the file to the processor.

Posting Deleted Return Items (Manual Posting)

If an item updated with a return code is later determined not to be returned, it can be deleted from Returns Processing and then manually posted to the member account.

  1. From the Returns Processing screen, highlight the item and click Delete.
  2. Change the Processing Mode from Returns to Hand Entered.
  3. Click Add and enter the information from the Share Draft edit detail report.
  4. Once all Hand Entered Items have been entered, click Transmit and Post to post hand entered items.

Add Hand Entered Draft Screen

The “Add Hand Entered Draft” screen allows for manual entry of draft information:

  • Member Account
  • Suffix
  • Cross Reference Number
  • Amount
  • Draft Number
  • Trace Number
  • Image Number

After all Hand Entered items have been added, they need to be posted:

  1. Make sure the Processing Mode is Hand Entered.
  2. Click Post.