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Same Day ACH is ready for its debut at the end of the week, and for some, its launch signals the next step for the payments industry to become faster and more digital. But a new report finds that, even as Same Day ACH is fast-approaching, businesses are actually increasing their use of paper checks.
New technology solutions are stepping onto the market to help automate accounts receivable, accounts payable and the act of supplier payments, as well as other processes surrounding these fields, like trade finance, cash flow management and accounting. There’s nothing more valuable than remittancedata.
Those features include remittance advice matching, ACH and wire repair and an integrated receivables file. The tools aim to reduce paper in corporate finance operations, Wells explained, and nix manual remittance and data entry.
NACHA released new statistics late last week on growth of ACH transaction volume in the U.S. According to the firm, B2B transactions were a key driver of ACH transaction growth in the third quarter of the year, leading NACHA Chief Operating Officer Jane Larimer to describe the ACH Network as “thriving.”. In all, more than 3.3
For corporates, it’s the remittance detail of a transaction that supports settlement, reconciliation and enhanced data analytics for CFOs and treasurers to gain better insight and visibility into corporate finances. In corporate banking and payments, the challenges that arise can be vast.
This challenge can quickly lead to discouraged finance teams that abandon the effort to implement a v-card program altogether. In a conversation with Karen Webster, Anderson discussed why CFOs and finance teams don’t have to clear the supplier card acceptance hurdle entirely to still benefit from a v-card program. .
Similarly, Comdata , a FLEETCOR company, introduced Comdata QuickPay, an invoice financing solution for users of Comdata fleet cards, which also facilitated the receipt of funds same-day.
Receivable Savvy’s report found 87 percent of suppliers receive payment via paper check, with ACH coming in second (72 percent) and card in third (61 percent). That’s despite 59 percent of suppliers saying their top preference is ACH, and about a quarter saying they prefer to be paid via check.
It’s great to get a check, or wire, or ACH, but if you don’t know what it’s to be applied to, you have a huge cash application and reconciliation challenge.”. He did note, however, that he is “very optimistic” about the emergence of new payment services able to move remittancedata along with funds. The Path to Integration.
Although new technology is appealing, treasury and finance professionals tend to stick with what works for them, and their vendors,” said AFP President and Chief Executive Jim Kaitz in a statement this week. Check and ACH transactions have been around for a long time for a reason.
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