"ACH will be a key ingredient to compete in the world of eCommerce in the coming years"-Manish Kohli | Global Head of Payments & Receivables, CITIBANK Let’s look at what different banks across the globe have to say about using a 50-year-old Lockbox Service in the era of faster Digital Payments.
“Reports of my death have been greatly exaggerated. My entire career we've been hearing about the threat or demise of lockbox”-Mark Twain Lockbox Services today are still being widely used in countries like North America. The main reason why bank lockbox services are still strongly prevailing is due to the minimal occurrence of reconciliation issues for clients. Moreover, the 50-year-old lockbox service is functional because the remittance data comes attached to the check. Moreover, lockbox services contribute to the smooth and efficient functioning of a high volume of B2B business payments.
“The existence of lockbox services in retail is declining 10% per year as consumers write fewer checks. This will eventually lead to the consolidation of retail lockbox services. Diminishing Lockbox Services in wholesale will be a slower process because there are larger payments”-Rodney Gardner | Global Head of Receivables, Bank of America Merrill Lynch The secret lies in an organization’s ability to acknowledge necessary changes before introducing a faster payment solution. Experts say that dedicated efforts should be made to improve the customer experience when introducing a new solution.
HighRadius Electronic Invoice Presentment and Payment (EIPP) Software provides tools that automate and speed up invoice communication and facilitate a faster collection of payments, enabling a closer and more convenient relationship with customers. It automates the invoice transmission and payment collection process providing a configurable solution that supports multiple invoice formats and different modes of transmission (fax, email, portal, etc.) depending on the targeted customer, its integration with ERP systems and a rich search capability enables efficient storage and retrieval of past invoices, backup attachments to minimize disputes and short pays. Apart from that it also has some key features that you would not want to miss out: level-III interchange and surcharge; self-service customer portal; invoicing across email, customer portals, post, and fax; advanced deduction management; and lightning e-payments. The result is faster invoicing and payment collection, better customer service, and improved profitability and cash flow.