CAF Pledge against an existing Pledge

Mandy McDermott

Hi



We receive a few CAF cheques into our organisation per month. We enter these CAF cheques as Pledges and once the payment comes into our bank, we then apply this payment to the pledge we entered. However, we have a pledge on a donors record and received a CAF cheque as payment...i'm not sure the best practice to enter this as we would normally enter this as a pledge and then payment as mentioned at the start but if we enter this as a pledge....against a pledge? There was an instance of this before where we entered the payment as a pledge as normal and then once the payment came in...we applied it to the pledge however the original pledge was still outstanding so we had to manually mark this off.



Any help would be very appreciated on this subject!

JoAnn Strommen

As generally (in US - don't know about UK) foundation rules prohibit $ from 'benefitting/paying a personal pledge, we would enter CAF check as a new gift - or based on your procedures a new pledge and the payment to apply to it.  We would adjust pledge on the individual's record to $0 and make any needed notation as to why it was adjusted to $0.  Adjustment to $0 or write off is generally based on your orgs operating procedures.