Configure a New Share Draft Dividend Application
These steps explain how to add a new Dividend Application for a checking account.
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To offer another checking account product with different fees, a new Dividend Application (DIVAPL) is necessary.
Preparation
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Determine the DIVAPL, suffix range, and G/L accounts to be used for the new product.
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If the G/L accounts do not exist, use Tool #202 Chart of Accounts/Budget Group Maint. to create them. View the steps to Add a G/L Account.
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Best practice is to use a new set of G/L numbers for each product. Sharing G/Ls makes it difficult to balance.
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If you are using a new suffix, use Tool #105 Account Suffix Configuration to create it. View the steps to Add a New Account Suffix.
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When considering the account suffix range, ask yourself if you would like the member to move between different products. If there is a possibility that the member will float between the products, keep a range large enough for them to be able to keep the same suffix. For example, a minor might graduate to a tiered dividend product.
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The G/L Account Control configuration is necessary to govern the accrual General Ledger interface that occurs during end-of-day processing. Launch Tool #383 GL Account Control Configuration.
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Input the G/L account for the share product.
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For example, if your checking accounts are represented by G/L account 902-00, you would enter 90200 on the initial screen.
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On this screen, fill in the following fields (if necessary): Description and Application Type.
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Use Enter to save the change.
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This creates a “base” record that is then tied automatically to the accrual G/L via the settings in the dividend application configuration.
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Creation
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Create the new DIVAPL using Tool #777 Savings/Checking Products Configuration.
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Select a Share Dividend Type.
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Use Enter.
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Input the configuration details. (Use a previously created checking dividend as a guide. Application type must be “Share draft/checking Products”.)
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Complete the General Account Information section.
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Remember to enter the HSA or IRA plan type indicators, if applicable.
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Complete the Accounting Interface section.
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Input the G/L account numbers to be used for the new product.
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If you created new G/Ls in step one, input them here.
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Complete the Dividend Information section.
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The minimum balance to earn a dividend will appear in the rate maintenance (Tool #506 Member Rate Maintenance) as the base minimum amount.
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Click ARU/Online Banking on the detail screen to control how members can deposit and withdraw funds.
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Add ANR scoring, if necessary, by selecting ANR Scoring from the detail screen. Follow credit union policies and procedures.
Activation
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Activate overdraft protection processing and NSF fees for the new DIVAPL by launching Tool #558 NSF/OD Transfer Configuration.
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Select Overdraft Protection & NSF configuration. Use Enter.
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To copy setting from an existing configuration, you can highlight the existing configuration and use the Copy option. Enter the new DIVAPL and Application Type to copy the configuration to, and use Enter. If this step is missed, then NSF/ODP notices will not generate.
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Click Add Configuration.
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Input the Dividend application and Application type.
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Use Enter.
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Input your desired configuration settings.
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Use Enter.
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Launch Tool #558 NSF/OD Transfer Configuration again.
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Input your desired settings.
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Use Enter.
