It’s time to close an open account when a dealership will no longer make financial interactions with the customer or lender. This may be the case when the account is paid off, but a dealership might also close an account when repossessing a vehicle or writing-off a balance due.
Closing an Account
To close an account, first navigate to Accounting in the side menu, then selecting Accounting List.
In the top-right, click the More drop-down menu, then click Close Account. A window will appear.
In the Reason drop-down menu, there are multiple reasons you may close this account. The reason you select will determine how DeskManager Online processes the account closure.
Account Final: The account balance is zero after the customer made their final payment. Ideally, most accounts will be closed with the Account Final reason. No adjustments will be added to this account since nothing is due.
Select Paid Off if the customer is paying off the remaining balance due with a lump sum.
Adjustments will be added to this account to bring its balance to zero. The breakdown of these adjustments can be seen under the account’s Adjustment History.
Select Buyback if the customer no longer wants the vehicle and is selling it back to the dealership.
This will close the account and add the vehicle back to your inventory with a new stock number designated with an “R” suffix. Adjustments will be added to this account to bring its balance to zero. The breakdown of these adjustments can be seen under the account’s Adjustment History. When you select this reason, you’ll be asked to include the Vehicle Market Value. The Vehicle Market Value will become the purchase cost for the new stock number.
Select Repo if the dealership is repossessing the vehicle due to customer non-payment.
This will close the account and add the vehicle back to your inventory with a new stock number designated with an “R” suffix. Adjustments will be added to this account to bring its balance to zero. The breakdown of these adjustments can be seen under the account’s Adjustment History. When you select this reason, you’ll be asked to include the Vehicle Market Value. The Vehicle Market Value will become the purchase cost for the new stock number.
Select Write-Off if the dealership is writing off the remaining amount due and not repossessing the vehicle.
Adjustments will be added to this account to bring its balance to zero. The breakdown of these adjustments can be seen under the account’s Adjustment History.
Select Contract Cancelled if the contract has been terminated early and the dealership is reclaiming the vehicle.
This will close the account and add the vehicle back to your inventory with a new stock number designated with an “R” suffix. Adjustments will be added to this account to bring its balance to zero. The breakdown of these adjustments can be seen under the account’s Adjustment History. When you select this reason, you’ll be asked to include the Vehicle Market Value. The Vehicle Market Value will become the purchase cost for the new stock number.
Select Transferred if the contract has been transferred to a third-party finance company.
Adjustments will be added to this account to bring its balance to zero. The breakdown of these adjustments can be seen under the account’s Adjustment History.
Select Other if the reason for closing this account is not supported by the other closure options.
Adjustments will be added to this account to bring its balance to zero. The breakdown of these adjustments can be seen under the account’s Adjustment History.
Once you’ve selected a reason for closure that best fits this account, designate the date the account should Stop Interest Accrual.
The Closing Date will always be today’s date.
Enter any notes about the closure if applicable.
If you are closing the account as a Repo, Buyback, or Contract Cancellation, you will be asked to include the Vehicle Market Value.
Once complete, click Submit to close the account.
Note that you can click Reopen Account in the top-right of the Accounting screen to reopen a closed account, but doing so may impact your DeskManager Online records and integrated accounting software (such as QuickBooks).
Comments
0 comments
Please sign in to leave a comment.