How to Record PDC Collection

Overview:

Post-Dated Checks (PDCs) are commonly used in businesses to secure future payments. In QNE AI Cloud Accounting, accurately recording PDC collections ensures that your cash flow planning, receivables tracking, and bank reconciliation remain consistent and reliable.

This article guides you through the steps to record a PDC collection in QNE Cloud Accounting, allowing the system to track it correctly and automatically update the status once the check clears.

Scenario:

Your customer issues a post-dated cheque dated two weeks from today to pay an outstanding invoice. Although payment has not yet cleared, you want to log the transaction to:

• Confirm the payment has been received.

• Prevent the related amount from being marked as overdue.

• Ensure the check is not reflected in your cash account until the actual deposit date.

By recording this PDC properly, your reports, audit trail, and receivables aging remain accurate without prematurely affecting your cash account.

Procedure:

Step 1: Start a New Payment Entry

• Navigate to Accounts Receivable > Received Payments.

• Click Add to begin a new transaction.

Step 2: Enter Collection Information

Fill in the following fields:

• Customer Code – Select the customer who issued the check.

• Deposit To – Choose the bank account 

• Date – The actual date you received the check.

• Post Date – The date on the check (can be manually changed if needed).

• Tax Date – Auto-follows the transaction date; adjust if required for VAT or reporting.

Then choose the appropriate payment application:

1. If it is a payment for a particular issued invoice, match the collection under the Knockoff tab

2. If it is an advance payment, just input the amount collected and save the transaction

Step 3: Mark as Post-Dated Check

• Click the arrow beside the Save & Send button.

• Select Mark as Post Dated Cheque.

Step 4: Save the Transaction

• Confirm that the PDC label appears on the transaction.

• Click Save to finalize the entry.

Application:

A customer, “XYZ Supplies,” issues a post-dated check for ₱100,000 dated August 1, intended as an advance payment for future orders. Today is July 1, and there is no invoice yet to apply the payment to. You want to ensure this advance is recorded and traceable without affecting your cash or sales reports.