Here is my guess too.. ;)
SELECT *
FROM
(
SELECT
Table1.ustatus,
Table1.description1,
Table2.ustatus,
Table2.vc_Balance,
Table1.Posting_Date as [Posting Date] ,
ROW_NUMBER() OVER
(
PARTITION BY
Table1.ustatus,
Table1.description1,
Table2.ustatus,
Table2.vc_Balance
ORDER BY
dbo.Table1.Posting_Date DESC
) AS RowNum
FROM
dbo.Table3
INNER JOIN
dbo.Table2
ON Table3.vc_ID = Table2.vc_ID
INNER JOIN
dbo.Table1
ON Table3.svc_ID = Table1.svc_ID
INNER JOIN dbo.Table4
ON dbo.Table2.person_ID=dbo.Table4.person_ID
WHERE
Table1.ustatus IN ('1', '2')
AND Table2.ustatus = '1'
AND Table2.vc_Balance > $0.00
AND Table1.Posting_Date >= '2012-10-01'
) AS T
WHERE
RowNum = 1
AND description1 LIKE '%Transfer%'
ORDER BY
[Posting Date]