▶︎ How Can I Manage a Credit or Charge Card in Scribe?

Using Credit Cards or Charge Cards

It is becoming increasingly common for councils to use credit or charge cards to facilitate purchases of minor or ad hoc items, replacing the use of petty cash or the reimbursement of expenses to staff. If a credit or charge card is used it is important to understand how to record the transactions on Scribe.

A credit or charge card permits you to borrow funds to pay for goods or services, with the promise to repay the provider. A charge card requires the balance to be paid off in full each month, a credit card will allow a balance to be carried forward (usually with interest applied).

How Can I Manage a Credit Card or Charge Card in Scribe?

Follow the steps below to ensure credit/charge card transactions are managed correctly within Scribe.

Create a Bank Account

We recommend setting up a separate bank account for your credit/charge card that the transactions can be recorded against.

Navigate to Menu Setup -> Bank Balances and create an account for your card (the opening balance should be £0.00).

Recording Purchases Made on the Card

Ensure the transactions are recorded with the voucher date being the date the card will be/is paid off, not when the item was charged to the card. Think of it in the same way of ordering goods on an invoice that is paid for later - the Scribe voucher date is not the invoice date, but the date the invoice was paid.

This approach is particularly crucial at Year End. Only those purchases that are paid off before 31st March should be entered on Scribe for that financial year, as they wouldn't be accurate to be considered as unpresented items. If you make purchases in March, for example, which won't be paid off until the new financial year, they should be entered on Scribe in April (e.g. dated the date the card will be paid off).

If you complete your Year End on an Income & Expenditure basis, you can accommodate these purchases using creditor adjustments.

Reconciling a Credit or Charge Card

When a payment is made or direct debit taken to pay off the card, this should be entered as a bank transfer from the relevant bank account (e.g. the current account) to the card account. Remember if you do not pay the card off in full (credit cards only) you must only record the transactions on Scribe that were included in the amount paid off. 

The bank transfer against both accounts, as well as the transactions against the card, can be reconciled to the date that the card is paid off. The payments out and transfer in should always net off to give you a current balance of £0.00.

💡 If your council uses a prepaid card (where funds are loaded onto the card before purchases are made) please see this helpguide: How can I manage a Prepaid Card in Scribe?