DMBM207110 - Returned payments: returned payments in COTAX

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Cheque, Bank Giro, and Girobank payments

All payments returned unpaid by the Bank are actioned by the Book 18 team within DMB Banking. They allocate each case a Book 18 number and then note this together with details of the returned payment in the COTAX Notes.

They create a minus entry in OAS equivalent to the original payment, and where the payment is still held in full on the COTAX record, they transfer it from COTAX to OAS. The plus and minus entries in OAS are then cross-referenced.

If all or part of the returned amount has been repaid, a minus entry is created in OAS for the full amount of the payment. Any part of the COTAX payment that has not been repaid is then transferred to OAS, and the plus and minus entries in OAS are cross-referenced.

The follow up action to recover the over-repayment is then taken by the Error Statement Team in DMB Banking.

Recalls - BACs, Faster Payments, CHAPs, internet, and telephone banking payments

Payments recalled by the customer’s bank are actioned through OAS by the Book 18 team within DMB Banking. They allocate these cases a Book 18 number, remove the amount of the recall from the customer’s record, and make a note in the COTAX Notes.

Direct Debit payments

Normally we receive an unpaid notification from the Bank before the Receipts Clearing System updates the customer’s record with the payment. Where this happens you will not see a NDDS unpaid posting on the customer’s record. Exceptionally, where we receive a late unpaid notification and the customer’s record has already been updated to show the payment, the Banking Central Direct Debit Team in DMB Banking arrange for the failed credit to be removed from the record.