Make deposits show before payments

"Evan Platt" wrote

So I often have payments and deposits on the same day. The problem is often deposits show after the payments, which then shows a negative running balance. Is there a way to make deposits show before payments so this doesn't happen?

Running Q2012.

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Sort the register by "Order entered"*. Make sure you enter the deposits before the payments.

Also, it's possible that sequencing by the downloaded "posting date" will put deposits ahead of payments. I took a very quick glance and it looked to me like it does; YMMV. So you could sort the register by Downloaded Posting Date*.

[ * Account Actions > Sorting options. Select the desired sort sequence. You can also sort on fields that appear in the register, by clicking on their heading. Clicking the heading a second time, will reverse the sort. ]

Thanks, I'll keep that in mind, but - uhh confused, now it looks like it corrected itslelf, lol. I did nothing on my end but close and reopen it later :)

Of course, if your FI handles the payments before the deposits (And many do, I believe), it doesn't matter what your Quicken register is telling you. You'll still possibly have a negative balance at one point at your FI and suffer the consequences (eg: a overpayment fee).

Andrew wrote in news:5002d6f8$0$1234$ snipped-for-privacy@cv.net:

My bank was caught doing the payment before deposit and a lot of customers were getting charged fees. I don't know for sure what authority took action against them, but they had to return a lot of bucks to such customers, and now they make entries according to the time of day the transaction took place, which is only logical.

My bank (Chase) handles deposits before credits.

Make that deposits before charges.

Some banks also sort the charges in decreasing order, so that the large charges are applied first. The result of this is that the smaller charges are the ones that generate the overdraft fees. Since the large charges will pull the balance negative more quickly, there are more overage fees that can be charged.

Hi, Fred.

That makes more money - therefore, more sense - from the bank's point of view, I'm sure. It also might be better for the customer: he probably will need to deal with only a single bounced check and just one irate payee.

But that one bounced check will be the largest - and probably the most important payment the depositor thinks he has made. All the small checks will clear, but his mortgage payment will bounce and he might lose his home. Farfetched, perhaps, but one example of the potential dangers of paying the biggest check last.

On the other hand, if the bank pays the largest check first, the house will be safe (for another month), but the customer will not only pay more bank charges, but may also incur several bounced-check fees - not to mention the embarrassments and other inconveniences - from small checks bouncing all over town.

So, you can't win 'em all. No matter which way you go, look out for pitfalls. :>(

The bank should make its policy clear, either way.

RC

-- R. C. White, CPA San Marcos, TX (Retired. No longer licensed to practice public accounting.) snipped-for-privacy@grandecom.net Microsoft Windows MVP (2002-2010) (Using Quicken 2012 Deluxe R 5 and Windows Live Mail in Win7 x64)

Some banks also sort the charges in decreasing order, so that the large charges are applied first. The result of this is that the smaller charges are the ones that generate the overdraft fees. Since the large charges will pull the balance negative more quickly, there are more overage fees that can be charged.

"R. C. White" wrote in news:lrudnQYoT5uy45jNnZ2dnUVZ snipped-for-privacy@posted.grandecom:

I believe (but am too lazy to go find a reference) that sorting by highest amount of debit first is now illegal. It was a (n illegal) ploy by the banks to maximize the overdraft penalties, but I am letting my opinions prevail over actual law, perhaps.

In years long past, Citibank would, free of charge, take any overdraft on my checking account from a special overdraft loan account, which of course had a hefty daily interest rate. However, keeping track of that and "fixing" it ASAP would minimize the costs of an overdraft.

Nowadays, Chase's fees are exorbitant

But, you can now have them send you text messages to alert you. Nevertheless I instituted my own rule with the checking account, I keep a hefty cushion to guard against these fees, and check on line and via Quicken on a daily basis ...