RTO Pro Manual > Contract Close and Refunds

Point of Sale Menu option "4"

This is where you close contracts, refund payments, or refund sales. When you take this option a menu will come up asking which of the 3 choices you wish to act on. Select the option you want then see individual instructions for each below.

Contract Close: To close a contract first enter the customer name, account # or contract #. For the customer name you can enter just a few letters of the last name, push ENTER then select from list. The customers first active contract will come up on the screen first, unless you entered a contract # in which case that specific contract would come up. If you entered the name or account # and the first contract that comes up is not the one you want to close you can go to the next contract for this customer by pushing PAGE DOWN to go through the contracts for this customer. PAGE UP will then take you back through in the reverse order.

After finding the contract you wish to close push F6. Then choose the option you wish to close the contract with, the options are explained below.

1. Payoff: This is for a payoff without an early payoff discount, the entire balance + late fees + unpaid previous other charges will be the amount due.

2. Early Payoff: This is for a payoff with an early discount. This will automatically calculate what the early payoff amount should be based on your settings in Store Setup.

After selecting the 1 or 2 close out option, a screen will come up showing the balance due or the balance due with the discount taken off, late charges will also be added if the auto late charge option is set to yes in the Store Information. If you wish to change the amount enter the correct amount in the payoff amount box. Push F6 to complete the transaction then ENTER to print a receipt.

3. Picked Up, 4. Returned and 5. Repossession: These are all for returning of merchandise to stock and closing out the contract. Picked Up is when store employees picked up the merchandise, Returned would mean customer returned to the store, Repossession is a pick up on a bad account, typically somebody you had collections problems with or had problems picking up the merchandise and would not re-rent to.

After selecting the 3, 4 or 5 close out option a screen will come up showing the money due if any for back rent and late charges if you have auto late charge set for yes in the Store Information. If you wish to change the amount due enter the correct on the top line where it says Back Rent And Other Due. Then enter the amount the customer is paying you(if any) right now on the next line. If the amount due is more than the amount paid then the difference will show under this customers account as other charges due for this contract. Enter F6 to complete the transaction then enter amount tendered if you desire and press ENTER for a receipt.

6. Skip: This is for when the merchandise is being written off and contract being closed, typically because the customer skipped (moved and you are unable to locate). The balance on the contract will show under the customers account as being due in other charges, .

7. Charge Off: This is for when the merchandise is being written off and contract being closed, typically because the customer refuses to pay or you are unable to collect. The balance on the contract will show under the customers account as being due in other charges,

8. DWF/GRP Write Off: This is for when the customer has damage waiver(DWF) and the merchandise was lost in a DWF covered event. For instance if your DWF covers fire and the customers merchandise was lost in a fire, you would close it out as a DWF Write Off. The customer does not owe the balance in this type of close.

9. Canceled: To cancel a contract, there must not be any payments made on it. Canceled only works for rental agreements, if you wish to back out of a retail sale that has not had any payments made, close it out as Picked Up or Returned to return your item to stock and cease the agreement.

When you choose Skip or Charge Off close out option a screen will come up showing the balance due on the contract and late charges if you have auto late charge set for yes in the Store Information. If you wish to change the amount due enter the correct amount in the box, then push F6 to complete the transaction and then ENTER for a receipt.

Reverse Payments or Other Transaction: This function will reverse or refund a payment that has been entered. In order to complete this process you must know the account # and receipt # of the payment.

First you enter the account and receipt #, then push enter. The transaction information will appear if it is a valid receipt and account #. Push F6 to refund it. You can also reverse or refund transactions by pulling up the customers history, selecting the receipt you wish to refund and clicking on "Reverse Trans" on the top menu.

Reverse Sale: This function will reverse or refund a sale that has been entered. In order to complete this process you must know the account # and receipt # of the sale.

Refund Deposit: Refund a customer's deposit.

To cancel an open retail sale (retail sale not paid in full, installment sale/ revolving charge sale) follow the following steps: 1. Reverse any payments (if there were any payments and you are refunding them to the customer). 2. Close the agreement under contract close (point of sale menu option 4). 3. Then reverse the original receipt (the receipt number that starts with an "S").

Watch a demo video on our website on how to close a contract.