This article explains how to set up and manage Security Deposits (Refundable Deposits) in the system.

 

Set Up Security Deposit Type

Before adding deposits, you will need to create a Refundable Deposit Type.

Navigation:
Accounting > AR > AR Set Up > Refundable Deposit Type

Steps:

  1. From Page Action, click Add Security Deposit Type.
  2. Enter the name of the Security Deposit Type.
  3. Click Save.

 

Activate the Security Deposit Type for the Association

After creating the type, activate it at the association level.

Navigation:
Accounting > Association GL

Steps:

  1. Click Edit for the association.
  2. Go to the Refundable Deposit Type tab.
  3. Click Edit next to the deposit type.
  4. Select:    
    • GL for Deposit Liability
    • GL for Forfeited Deposit Income
  5. Assign a Department if applicable.
  6. Click Save.

 


How to Add a Refundable Deposit

Navigation:
Accounting > AR > Manage Refundable Deposit > Manage Refundable Deposit Batch

Steps:

  1. Click Page Action and select Add Refundable Deposit.
  2. Select the Bank Account where the deposit will be recorded.
  3. Select the Homeowner Account the deposit belongs to.
  4. Select the Date and Refundable Deposit Type.
  5. Click Save and Post.

The system will automatically create all necessary transactions to record the deposit.

 

Viewing Deposits on the Homeowner Page

On the Homeowner page, there is a Refundable Deposit tab where you can:

  • View all refundable deposits
  • Process refunds

Note: Refundable Deposits do not affect the homeowner’s balance.

 


How to Process a Refund

Refunds can be processed in different ways depending on the situation.

 

1. Full Refund to Homeowner

You can initiate a refund from:

  • Owner Transaction Page, or
  • Accounting > AR > Manage Refundable Deposit

Steps:

  1. Click the Refund link.
  2. Select the Refund Date.
  3. Enter the full deposit amount in the Refund to Homeowner field.
  4. Click Save.
  5. Go to:
        Accounting > AR > Manage Refundable Deposit > Process Check
  6. Generate the check.

 

2. Partial Refund to Homeowner

If only part of the deposit needs to be refunded:

  1. Go to Manage Refundable Deposit.
  2. Click the Refund link.
  3. Enter the amount to refund in the Refund to Homeowner field.
  4. Click Save.
  5. Go to the Process Check page and generate the check.

The remaining amount will stay in the Refundable Deposit GL.

 

3. Move Deposit to Forfeited Deposit

If the deposit should not be refunded but instead moved to forfeited income:

  1. Go to Manage Refundable Deposit.
  2. Click the Refund link.
  3. Enter the amount in the Forfeited Deposit field.
  4. Click Save.

The system will automatically create the necessary transactions to move the funds from the Refundable Deposit Liability GL to the Forfeited Deposit Income GL.

 

Reports

To review all refundable deposits:

Navigation:
Reports > AR > Refundable Deposit

 

Permissions

Access to Refundable Deposit functionality can be controlled from:

Profile > Permission Page