How to Release funds

How to Release funds

Sometimes a deal may collapse or fall through or you have to transfer funds from one deal to another, if this happens you will have to release funds you're holding.  To do that, head to the Release Deposit menu in your deal to record this release.

We'll go down each option on this page
  1. Add your amount
  2. In some cases you may get a warning saying you're exceeding the amount you wish to release, if you know it's not exceeding the amount and you know you've selected the correct bank account in the Bank Account field, go ahead and click the Ignore Warnings checkbox
  3. Check the In Trust checkbox if you want the bill in Xero/QBO to display in trust after the Refund to contact's name.
  4. Reason pulldown.  You have a few options here, Excess is selected if you have excess funds to release, Refund is selected if you're refunding a deposit, and Other is for any other type of release such as transferring a deposit from one deal to another, to learn more about that, read here

  5. Choose your bank account you will be releasing from, if you have more than one, you will see it by clicking the dropdown

  6. Add the contact to whom you're releasing the funds to due to the contact rules in Xero/QBO you can no longer chose the name from the dropdown, you will have to put your cursor into the Refund To field and search your contact, please note if you have 2 identical contacts in the dropdown, you have duplicate contacts in your People's page under your brokerage menu.  Reach out to support to ask how to cleanup.

  7. Add a reference, this can be the check/EFT/Wire confirmation/reference if releasing excess, if refunding, reference the reason for the refund, if transferring funds from one deal to another, reference the new deal number you're transferring to.
  8. Add the Transaction Date, leave the date for the default autofill if you're releasing today.  You can add a future date, note this won't post to your accounting till that future date, so don't expect to see it there until then. You can also add a past date, this is if you forgot to release funds in a deal but did in your bank, which is not an optimal workflow as you should be using Loft as your start point to record financial transactions.
  9. Save your changes and batch to Xero/QBO via the transaction's page.

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