Posted January 10, 2019
Cash application drives key company metrics for collections, deduction management, and DSO. However, when remittance information from buyers is faulty, missing, or received in non-standard formats these metrics suffer. To address this AP-AR chasm, NACHA has partnered with HighRadius to develop a remittance validator/translator tool to make it easier for buying companies to send remittance information in the format desired by the supplier. Using the cloud-based tool, a supplier can store its remittance requirements against which buyers can validate their files before sending a payment. The tool also supports a remittance translation service as another option to enable buyers that need assistance creating a compliant file.
Aligned with the ACH Roadmap and designed to reduce friction and make using ACH easier for businesses, NACHA has been reviewing the Remittance Validator / Translator tool concept with Direct Members, the Payments Innovation Alliance, and the NACHA Board of Directors and Board Advisory Group over the past few months. NACHA will provide more information on the tool at HighRadius’ RADIANCE ’19 in Houston in February, and its Smarter. Faster. PAYMENTS 2019 Conference in Orlando in May.
A NACHA Preferred Partner for cash application automation, HighRadius provides Financial Supply Chain Management (FSCM) software solutions to optimize receivables and payments functions such as credit, collections, cash application, deductions and eBilling. RADIANCE ’19, to be held Feb. 18-19 at Houston’s Minute Maid Park, is the solution provider’s order to cash “unconference” and will draw more than 600 attendees interested in innovation and developments in this space, and features peer-led sessions, workshops, product demos and more. Visit https://radiance.highradius.com/ for more information and to register for RADIANCE ’19.
NACHA Preferred Partners’ solutions support longer-term strategies of increasing the use of the ACH Network, facilitating efficiencies in the standardized use of information and messaging formats and standards, and improving risk management and transaction quality in a way that is conducive to ongoing innovation. With an end-to-end view, solutions align with this vision as they touch and improve the experience of financial institutions and/or end-user customers.