-
The AR department creates invoices in NetSuite.
-
Your customers send checks, wire transfers, and/or ACH payments to your bank.
-
The bank creates a lockbox file, typically either fixed width or character delimited, which isn’t designed to be easily read by a person.
-
Celigo’s standard Cash Application Manager attempts to match payments first to invoices and then to customers, depending on the data in the file. The solution can be customized to look at one or more other criteria.
-
Applied: The Cash Application Manager finds the NetSuite invoice which matches the payment, and the payment amount is equal to the invoice amount. (A customer can send a single payment for multiple invoices. In that case, “applied” means that all invoices for a given payment were found in NetSuite and the amounts for each invoice were matched.)
-
Partially Applied: The Cash Application Manager finds some of the NetSuite invoices which matches the payment. Because other invoices on the lockbox file are not found in NetSuite, the payment exceeds the total of the invoice amounts. This can also be due to an overpayment, i.e. if your customer pays against an invoice already closed.
-
Unapplied: The Cash Application Manager finds the NetSuite customer that corresponds to the payment, but it does not find any of the invoices for that payment.
-
Unidentified: The Cash Application Manager does not find the NetSuite customer for the payment.