The business flow for a transaction from the initial purchase to posting to the general ledger is outlined below:
Cardholder places order by mail, telephone, fax, secure Internet website or at point of sale.
Supplier receives authorization for purchase.
Cardholder receives goods or services.
Transaction charge is posted to Total Systems, a third party entity that processes credit card transactions. The transaction is assigned a posting date based on the date that the transaction is processed by Total Systems.
Posted transactions and new cardholder records are downloaded from Bank of America daily.
Department administrators verify and document the Corporate Card transactions and, if necessary, reallocate charges to the appropriate cost object and/or general ledger account.
Charges are posted to the general ledger on a bi-weekly basis, if they have valid accounting codes and the required documentation in Works.