How the Tyl integration works in FreeAgent

This article explains how FreeAgent handles sales, refunds, chargebacks, and fees relating to your Tyl Merchant Account once you’ve set up the integration to import your Tyl data into FreeAgent.

If you encounter any issues with the integration, please visit Tyl’s help centre.

To set up an accounting integration to allow online payments with Tyl by NatWest for your FreeAgent invoices, find out how to take invoice payments with Tyl by NatWest.

Sales from your Tyl Merchant Account

Using the integration to record your sales

If you're using the Tyl integration to record your sales data in FreeAgent, every 24 hours, an invoice will be automatically created in FreeAgent if there have been sales received into your Tyl Merchant Account. This invoice will contain the total value of all the money you received through your Tyl Merchant Account for the previous 24-hour period. If there have been no sales received during this period, an invoice will not be created.

As soon as a payment is made by your customer, you should receive a confirmation email. This confirmation email will be sent to the email address of the registered FreeAgent account owner.

If your business is registered for VAT, the total sales will be reflected at the standard rate of VAT. The contact for these automatically created invoices will be listed as ‘Tyl’. (This contact will be created when you set up the Tyl integration.)

Here is an example of a sales invoice created by the Tyl integration in FreeAgent:

If you need to, you can add a manual bank transaction in the Tyl bank account to mark the invoice as paid.

You can view your chosen Tyl dummy bank account in FreeAgent by navigating to the ‘Banking’ tab at the top of the screen and selecting ‘Bank Accounts’ from the drop-down menu.

Using the integration to record your fees only

If you’re only using the Tyl integration to record your fees in FreeAgent, you will need to manually enter your sales transactions into your chosen Tyl dummy bank account in FreeAgent. Then, once the bank transaction imports into your business bank account in FreeAgent via a bank feed or bank statement upload, you’ll need to explain the transaction as a transfer from your Tyl dummy bank account. This will bring the balance in the Tyl dummy bank account back to zero.

Refunds from your Tyl Merchant Account

Using the integration to record your sales and refunds

If you're using the Tyl integration to record your sales data in FreeAgent, every 24 hours, a credit note will be automatically created in FreeAgent if there have been refunds paid out of your Tyl Merchant Account. This credit note will contain the total value of all the money you paid out through your Tyl Merchant Account for the previous 24-hour period. If there have been no refunds made during this period, a credit note will not be created.

If your business is registered for VAT, the total refunds will be reflected at the standard rate of VAT. The contact for these automatically created invoices will be listed as ‘Tyl’.

Here is an example of a credit note for the refunds created by the Tyl integration in FreeAgent:

If you need to, you can add a manual bank transaction in the Tyl bank account as a Credit Note Refund to mark the credit note as refunded.

Using the integration to record your fees only

If you’re only using the Tyl integration to record your fees in FreeAgent, you will need to manually enter your refund transactions into your chosen Tyl dummy bank account in FreeAgent. Then, once the bank transaction imports into your business bank account in FreeAgent via a bank feed or bank statement upload, you’ll need to explain the transaction as a transfer from your Tyl dummy bank account. This will bring the balance in the Tyl dummy bank account back to zero.

Chargebacks and chargeback reversals

Chargebacks and chargeback reversals are aggregated every day and posted to the relevant spending category in FreeAgent.

Chargebacks

The Tyl ‘chargeback’ refund process takes place after a cardholder disputes a transaction made from your Tyl Merchant Account. If a chargeback is made within the previous 24-hour period, a bill will be created in FreeAgent for the value of that chargeback and allocated to the spending category that was selected when setting up the integration. If there have been no chargebacks incurred during this period, a bill won’t be created.

Here is an example of a bill created for a chargeback by the Tyl integration in FreeAgent:

If you need to, you can add a manual bank transaction in the Tyl bank account as a Bill Payment to mark the bill as paid.

Chargeback reversals

The Tyl ‘chargeback reversal’ process takes place after a Tyl merchant contests a cardholder chargeback. If a chargeback reversal occurs within the previous 24-hour period, then a bill credit note will be created for the value of that chargeback reversal. If there have been no chargeback reversals incurred during this period, a bill credit note will not be created.

Here is an example of a bill credit note created for a chargeback reversal in FreeAgent:

If you need to, you can add a manual bank transaction in the Tyl bank account as a Bill Refund to mark the bill credit note as refunded.

Fees not subject to VAT

If you are a net settled Tyl merchant, your fees will be added to FreeAgent as a bill on a daily basis. If you are a gross settled Tyl merchant, your fees will be added together and added to FreeAgent as a single bill at the end of each month.

Net settled Tyl merchant

Every 24 hours, a bill will be automatically created in FreeAgent for the total amount of fees, not subject to VAT, that have been incurred over the previous 24 hours. If there have been no fees incurred during this period, a bill will not be created.

Here’s an example of a bill created for the daily fees by the Tyl integration in FreeAgent:

Gross settled Tyl merchant

On the final day of each month, a bill will be automatically created in FreeAgent for the total amount of fees, not subject to VAT, that have been incurred over that month. If there have been no fees incurred during this period, a bill will not be created.

Here’s an example of a bill created for the monthly fees by the Tyl integration in FreeAgent:

Fees subject to VAT

In a similar way to the fees not subject to VAT, if you are a net settled Tyl merchant then your fees are added to FreeAgent on a daily basis. If you are a gross settled Tyl merchant, the fees are aggregated together and added to FreeAgent at the end of each month.

Net settled Tyl merchant

Every 24 hours, a bill will be automatically created in FreeAgent for the total amount of fees subject to VAT that have been incurred over the previous 24 hours. If there have been no fees incurred during this period, a bill will not be created.

Here’s an example of a bill for the daily fees created by the Tyl integration in FreeAgent:

Gross settled Tyl merchant

On the final day of each month, a bill will be automatically created in FreeAgent for the total amount of fees subject to VAT that have been incurred over that month. If there have been no fees incurred during this period, a bill will not be created.

Here’s an example of a bill for the monthly fees created by the Tyl integration in FreeAgent:

Payouts from your Tyl Merchant Account

Every Tuesday, Wednesday, Thursday and Friday, Tyl will send a single payout from your Tyl Merchant Account to your bank account. You should receive your daily settlement by the end of the business day following the day the transactions took place. No payouts are sent to FreeAgent over the weekend. Instead, on Mondays Tyl will send a single payment for all transactions that occurred on the previous Friday, Saturday and Sunday.

When a Tyl payout transaction is imported into FreeAgent via a bank feed or from a bank statement upload, you’ll then need to explain the transaction as a transfer from your Tyl dummy bank account. This will bring the balance in the Tyl dummy bank account back to zero.

Additional fees

On the first day of each month, a bill will be automatically created in your FreeAgent account for the total amount of additional fees for authorisations, card machine hire, PCI etc.

If you need to, you can add a manual bank transaction in the Tyl bank account as a Bill Payment to mark the bill as paid.

The amount that you owe for the fees will be collected by Direct Debit around 10 days after the date of the invoice. When this Direct Debit payment is imported into FreeAgent via a bank feed or from a bank statement upload, you’ll then need to explain the transaction as a transfer to your Tyl dummy bank account. This will bring the balance in the Tyl dummy bank account back to zero.

If you encounter any issues with the integration, please visit Tyl’s help centre.