POLICYANDPROCEDUREMANUAL

SOPNO:ACCTGAR00902/16
DEPARTMENT: ACCOUNTINGSUBSECTION:ACCOUNTSRECEIVABLE
SUBJECT:
RETURNEDCHECKSISSUEDATE:FEBRUARY8,2016

POLICY:Anycheckreturnedbythebankasanunpaiditemrequiresfollowupuntilitiscollectedordeemed
tobeabaddebt.

PROCEDURE:
ChecksmaybereceivedforanAccountsReceivablepayment,AdvancedDeposit,orotherauthorized
payment.Uponreceiptofanycheckreturnedbythebankasunpaid,personalcontactshouldbemadetothe
checkwriter/clientwheneverpossible.Ifpossible,thecheckshouldberedeposited.

Ifacheckcannotberedeposited,itshouldbepostedtoCityLedgerasaReturnedCheckinanewaccount
notatingthenameofthecheckwriterandReturnedCheck.(ABCCompanyReturnedCheck).

CollectionproceduresmustbefollowedinaccordancewithAtriumguidelines.Paymenttooffsetareturned
checkdebtmaynotbemadebycheck.Acceptableformsofpaymentinclude:cash,moneyorder,cashiers
check,orcreditcard.Aservicefeemaybeaddedtothesettlementofthereturnedcheckofupto$25.00.
Thisdecisionislefttothediscretionoftheindividualhotel,basedonthecheckwriter/clientsrelationshipwith
theproperty.Ifcollected,thisshouldgotooffsetBankChargesontheGeneralLedgerinaccount
7070100000.

Ifthecheckisdeemeduncollectable,followtheappropriatewriteoffprocedure.Checksofamaterialamount
shouldbeturnedovertoacollectionagencyimmediatelyafterwriteoff.