We receive payments from vendors on warranty work that we perform. The warranty “claim” is created as a Purchase Receipt “Return” record. When we receive an AP credit from a vendor, it is applied against the return receipt and we can then use that credit to pay other invoices from the vendor.
We have two vendors that insist on cutting us checks for the warranty payments rather than an AP credit. The checks come into our lockbox and are processed by our AR team. It’s a complicated “throw everything over the wall” process to take this payment and ultimately apply it to the warranty claim.
I’m wondering if there is a way that I could extend the business account for these vendors as a customer record as well. AR is very familiar with creating payments for customers (and the lockbox module can do it automatically). I’m sure I could do it with a combination of customer and vendor documents hitting a clearing account, but I’m wondering if the system already can see “Vendor ABC is a customer with a $50 unapplied payment, and they also owe us $50 for a purchase return, so wash those out.”
