How matching transactions works to settle incoming payments from the ISO20022 camt.054 into Customer payment journal in D365FO

This blog I will explain how matching invoice works to settle the transaction of incoming payments from the ISO20022 camt.054 into Customer payment journal in Microsoft Dynamics 365 for Operations. 

There are two types of files formats we get from bank for camt.054 statement and they are.

1. Structured(Strd)
   
   
   – Information supplied to enable the matching of an entry with the items that the transfer is intended to settle, eg, commercial invoices in an accounts' receivable system in a structured form.
2. Unstructured(Ustrd)

– Information supplied to enable the matching of an entry with the items that the transfer is intended to settle, eg, commercial invoices in an accounts' receivable system in an unstructured form just like text, unstructured remittance information is limited to 140 characters.

As standard only structured formats are supported to settle the transactions automatically.

Below sequence system will try to identify the customer transactions when we import camt.054 statement

1. Matching by Payment Id.
2. Matching by Invoice Id.
3. Matching by Debtor/Creditor Name.
4. Matching by Customer bank account.
5. Default import for all unmatched records.  

So in the process of identifying transactions if the system is not able to identify the transactions based on Payment Id/ Invoice Id then those transactions we need to settle manually after import.

Field mapping as per standard format in D365FO

S.No.	Identified field in Camt.054 file	Identified field in D365FO transactions
1	CrdtRefInf	Payment Id (CustTrans.PaymId)
2	RfrdDocInf	Invoice Id (CustTrans.Invoice)
3	Dbtr	Name (DirPartyTable.Name)
4	DbtrAcct or CdtrAcct of IBAN	IBAN (CustVendBankAccountTable.IBAN)

CrdtRefInf and RfrdDocInf info found only in structured formats. That’s why only structured formats are supported to settle the transaction by default.

What about unstructured formats if you want to auto settle?

Yes, of course we can settle them but we need to customize the format mapping to identify the invoice/ any reference to identify the transaction.

One of our client provide only unstructured formats but the invoice number available in EndToEndId tag in the file, so I have customized camt.054 format match with unstructured format to settle transaction automatically.

In this  EndToEndId  filed will be available in unstructured formats as well, so please check the file which bank provides and see if required info exists then do the mapping accordingly to work with unstructured formats.

Hope this helps you and I will come up with another interesting blog post soon.

If you need development support for any ER framework changes then reach me on Jayaprakashc079@gmail.com

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