Adding direct deposit information for vendors or agents

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To make direct deposit payments to a vendor or agent, you will need to specify the appropriate direct deposit information in the Direct Deposit tab of the Vendors screen. 


  1. Choose Setup > Vendors and select the vendor. For detailed information on setting up vendors, see the Setting up vendors topic.
  2. For vendors that are not tax agents - if this vendor will use International ACH Transactions (IAT), all fields in the Addresses section of the Main tab must be completed. Entries in the State and ZIP fields are required only for those countries to which they apply.
  3. Click the Direct Deposit tab.
  4. Vendor checks can be deposited directly to one or more accounts. Choose whether to base the allocation percentage calculation on the total distribution amount or the remainder of the distribution.
  5. Select the bank from the drop-down list and then enter the account number, account type, the amount or percent of the deposit amount to go into this account, and the status of the vendor's direct deposit information. The application calculates the deposit(s) in the order in which they appear in the grid.
  6. For vendors that are not tax agents - if this vendor will use International ACH Transactions (IAT), click the Ellipsis Ellipsis button button in the IAT column to open the IAT Details dialog, where you can specify that this direct deposit allocation uses international format and set up the US gateway operator and destination country information.
  7. For new information in the grid, be sure to set the Status column to Prenote so that the information can be verified prior to sending live ACH files.


    • After you have created and sent a prenote file to the bank, and the bank account has been successfully prenoted, you will need to manually update the status of the bank account to Approved for direct deposit files to be created. View explanations of each status option.
      • Approved. Everything is setup and this vendor's bank account is ready for direct deposit.
      • Needs authorization. Everything is set up, but this vendor needs authorization before direct deposit can be processed.
      • Prenote. Everything is set up, but this vendor's bank account information will be prenoted before live processing.
      • Suspend. Everything is set up, but this vendor is not using direct deposit at this time. This option saves the information for when the vendor uses direct deposit again.
      • Waiting. The bank account information has been prenoted and we are waiting for the prenote to be approved.
    • Although the use of prenotes is supported with International ACH Transactions (IAT), the concept of prenotes is not supported in most countries around the world. In most cases, if you are using IAT you will not receive a response to your prenote.
  8. If the vendor/agent is a paycard recipient, mark the Paycard recipient checkbox.
  9. If this vendor is an agent to whom you will be making tax payments, enter additional information In the Direct Deposit Tax Payment Additional Information section. If you need to make a selection other than the default code "T" In the State/local amount type code 1, 2, 3 field, click the Ellipsis Ellipsis button button and make your selections in the Edit State/local Amount Type Codes dialog.

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