Many individuals and businesses today utilize their home bank or credit union bill pay solutions, accessed from the institution’s web page, to fulfill their remittance processing needs. When online bill pay remittance solutions are used to make consumer or business payments the home, or originating, financial institution uses an outsourced vendor to convert these electronically originated transactions into a paper check. The creation and printing of a paper check, which requires mailing the check(s) to the biller’s lockbox for remittance processing, adds time to the process and creates additional postage and processing delays in receiving your money.
Our Electronic Lockbox remittance processing streamlines this process with electronic handling of online bill payments without the additional steps of printing and mailing paper check to the remittance processing address associated with your retail or wholesale lockbox.
Payments made through the remitters home bank or credit union’s online bill pay solution are routed as electronic funds, rather than having a paper check sent to the remittance address. The remittance funds are deposited via ACH to the designated deposit account and a record of each electronic remittance payment made to a retail or wholesale lockbox is processed through our electronic lockbox generating an electronic data file that you will have access to for the purpose of posting each payment to the appropriate accounts receivable location in your system. Payments and remittance information from the electronic payment file is merged with information from paper check payments received in the lockbox to create a single accounts receivable output file.
Electronic Lockboxes offer clients a fast and cost friendly way to manage home banking bill payments.
Benefits of E-Lockbox:
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Faster Processing = Faster Payments
- Electronic processing decreases the time spent going through checks by several days. This means clients who have their bill payments processed through our E-Lockbox see cash in their accounts at an accelerated rate as compared to those who continue to have their bill payor checks processed with a paper check solution.
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Promote Client Growth
- Because clients receive speedier payments, they are able to offer a higher variation of payment services to merchants electronically. This allows clients to pay the way they want to pay, increasing customer satisfaction and overall happiness.
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Reduce the Risk of Error
- Electronic payment services lessen the possibility of error compared to paper check, bill payer, solutions. Clients can expect decreased customer service issues and to spend less time fixing mistakes that cost time and money.