Upload
arron-perkins
View
218
Download
1
Tags:
Embed Size (px)
Citation preview
Banking Technology in ReceivablesCollection Strategy Overview
Trends in Consumer Behavior
Movement towards electronic based solutions– Decrease in paper bills/statements– Decrease in sending payments to lockboxes
Desire for consumers to have multiple ways to make payments such as– Direct debit– Web-based– Phone-based– In-person– Kiosk– Wireless
Desire to use alternative payment channels such as– ACH– Credit cards– Debit cards
2
C-2-B Strategy Trends in Consumer Behavior
3
How to Get Ready for the Future?
Focus on electronic payments– Paper is declining, so many billers who process internally should really examine their cost structure – As paper payments continue to decline, the cost of maintaining in-house lockboxes will continue to
increase– US Postal changes likely to hasten migration to electronic payments
Focus on consolidating vendors for electronic payments and standardizing the posting and financial settlement of the payments
Don’t try to build everything yourself– Use valued vendor relationships to accomplish the transition to electronic collections
Strategize how you want your collection process to look in the end prior to starting projects– Get the game plan first before running plays– This will reduce the chance of moving down paths that conflict with one another
4
C-2-B Paper and Electronic Presentment Model
AR Customer Billing File
Paper billprint and mail
(To consumer)
ARMaster File
Billing File(s)
Billing File(s)
EBPP/EIPP
Biller brandedweb presentment of bill to consumer
BANK bill payment sitesweb presentment of bill to consumer
Print/Mail
5
C-2-B Paper and Electronic Collection Model
1. A single A/R posting file2. Financial settlement for all transactions3. Detail reporting of all payment
streams for reconcilement and control
Payment Sources
MerchantServices
ACHServices
&E-Lockbox
Lockbox services
BANK info systemsand internet reporting
ARSystem
EBPP/EIPP
Walk-in paymentcenters
ACH DirectDebit program
Online billpayment
transactions
Collection agencies, etc.
Paper checks &return items
IVR (interactive voice response)
Biller direct EBPP solution
Deliver bills to consolidation sites
Mobile/SMS
6
Online Bill Payment Consolidation
E-Lockbox Overview and Benefits
Questions– Do payments coming to you via a computerized check from bill-payment providers
require manual data entry?– Are you getting transmissions of bill payments from multiple sources such as
CheckFree, Metavante, Online Resources, Western Union, IPay, etc?
What is it?– An efficient, streamlined process to collect incoming payments that have been
initiated by consumers using various financial institutions, collection agencies, credit counseling agencies or walk-in payment center
Benefits– By automating the collection of these bill payments with a single transmission, you
can reduce the number of check and list remittances you receive– Also, eliminates the need to manage multiple electronic transmissions from
individual vendors that produce these types of payments– Gives your company the ability to perform customer service using an internet
based platform for paper and electronic transactions
8
E-Lockbox Process Flow
Biller
Consumer’s Online Banking/Bill Payment
Provider
Consumer
Pay Bills
Collection and Credit Counseling
Agencies, and Walk-in Payment Centers
Dollars and Consumer Payment Information
1. Dollars Immediately Available2. Invoice Information in A/R File.
Information can be combined with BANK Lockbox data file.
Internet based Client Service Module
Customized Filtering/routing
available
9
BANK
EBPP/EIPP ServicesBiller Direct Electronic Bill/Invoice Payment and Presentment
EBPP/EIPP Overview and Benefits
What is it?– A secure way to present invoices to your customers online and an electronic
payment collection system that enables your customers to make timely, reliable payments in a secure, online environment
Benefits– Allows you to eliminate paper invoices, while streamlining and receiving
automated payments– Secure – presentment and receipt– Can be accomplished without major investment or complex implementation (BANK
developed and maintained website)
11
EBPP/EIPP Process Flow
Web
IVR
EBPP/EIPPEngine
GenerateFiles
CC Settlement
Instr.
ACH FileBANK
ACH Ops
BANKMerchant
SvcBiller
Account@ BANK
Next DaySettlement
Next Day Settlement
A/R PostingFile
(DownloadOr
Lockbox Merge)
E-mailNotification
CallCenter
Billing FileLoading
(uploadOr
file transmission)
Payment Channels
Payment Options
12
13