Year-End Close Effect on University Corporate Visa Cardholder Transactions:
The Corporate VISA Procurement Card Program is affected by the university’s fiscal year end closing procedures. Cardholders MUST adjust their use of the credit cards in order for purchases to be included in the current budget year.
1. STOP USING THE PROCUREMENT CARD SEVERAL DAYS PRIOR TO THE 25th OF JUNE: The billing period cut off date established by USBank is the 25th of each month. Transactions received after the 25th fall into the next month. Consequently, if USBank receives and posts a transaction from a vendor by the 25th of June, it will be included in the final budget for FY 06. Any transactions received and/or posted AT THE BANK after the 25th of June will fall into the July billing period and be charged to FY 07 budgets. We strongly suggest June 16, 2006 as the last day the Visa cards should be used if transactions are to be posted against the FY 06 budgets.
2. SHORTENED DEADLINE FOR JUNE REALLOCATION: Cardholders will NOT have the usual 15 days into the following month for reallocations. Because of very tight scheduling of FRS processes, June VISA transactions will remain on the ProCard Reallocation & Reconciliation System for cardholders to view or make changes only until 1 p.m. on Wednesday, July 5.
3. Cardholders have experienced the following year end problems:
Vendors did not submit transactions promptly to USBank. USBank was not able to post all last minute transactions prior to the deadline.
The university has no control over either problem. Consequently, some charges were posted to July last year because they did NOT clear the bank before the 25th of June. Please plan the use of your procurement card to avoid making purchases too close to the billing period cut off date in June.
If you have any questions, contact Financial Services (Ella Watts x4-2347), Procurement (x4-3492), or e-mail {procard@towson.edu}.
