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How to Pay External Vendors

To ensure compliance, internal community members need to be familiar with the University Procurement of Goods and Services Policy and Procedure when procuring goods and services on behalf of the university. It is highly recommended that individuals responsible for procuring goods and services for their areas attend the Procure to Pay Workshop. Visit the YU Learn for registration information.

All payments to vendors are processed through the Finance department. Depending on the dollar value of the acquisition and what method used when procuring the good/service the payment process could be one of the following methods:

  • Sm@rtBuy (Universities on-line purchasing system)
  • PCard (Universities recognized corporate credit card)
  • Payment Requisition Form and/or Wire/Draft Payment
  • e-Invoicing (payment is submitted electronically to vendor)
  • Purchase Order

Paying for Goods/Services valued under $25K

There are various payment methods available when procuring within this dollar threshold (i.e. Sm@rtBuy, PCard, Payment Requisition and Wire/Drafts. Visit the Procurement Services website to learn more.

Paying for Goods/Sevices valued between $25K and $50K

Understand the process on getting your vendors paid. Also learn about dealing with partial payments.

Paying for Goods/Services valued over $50K

Once the bid process is complete and a successful vendor selected Procurement Services determines the method the payment. Understand the three different types of purchase orders and when they are used.

Paying Vendors in Advance

The University does not normally allow supplier/vendor advance payment or prepayment. Where goods and services being acquired are unique, or being produced exclusively for York, the University Comptroller may authorize supplier/vendor prepayment if one or more of the following conditions are met:

  • total prepayment amount requested is less than $10,000
  • supplier/vendor has provided an irrevocable standby letter of credit
  • supplier/vendor has provided a credit reference from its banker
  • supplier/vendor is a government agency that requires advance payment prior to the completion of the sale

Internal community members must contact the Comptroller's office prior to committing the University to prepayment arrangements with supplier/vendors.