All outstanding payments per debtor in one overview
Does your customer have several outstanding invoices? Then it is useful to bundle these invoices in one file. This prevents you from flooding your customer with separate payment requests and reminders. In a bundled file you and the customer can see the total amount of all outstanding items. You only have one credit management process per debtor. We call this function: Debtor Collection.
Debtor Collection is a feature within Buckaroo's credit management solution. This feature simplifies the process for debtors with multiple outstanding invoices. With Debtor Collection, invoices are bundled in one file. Based on this file, only one reminder process is used. This means that your customer only receives one reminder e-mail based on all outstanding invoices at that time. By bundling these in a file per debtor (debtor file), your financial department or customer service can find back the situation per customer in the system more quickly.
It's up to you
Like many of Buckaroo's functionalities and payment solutions, Debtor Collection was created at the request of several customers. They wanted to use one credit management process per debtor. The reasoning behind this? When a different credit management process is used for each invoice, there is a chance that you and your customer will lose the overview of invoices that have already been paid and invoices for which a reminder has already been sent. We can also imagine that you would like to keep everything separate. Therefore, within your credit management module, you can choose whether you want to use Debtor Collection.
How does Debtor Collection work?
If debtors have multiple open accounts, you can check the option to have a reminder schedule for all open accounts together, instead of a reminder per invoice. You can set up separate templates for the Debtor Collection reminders. In these templates you can explain that it concerns a bundled payment request or reminder. Make it clear to the debtor that it concerns several outstanding invoices. You can add a payment link that allows your customer to pay all outstanding invoices at once. Have you enabled Debtor Collection? Then it is still possible to pay invoices separately, also invoices from a Debtor File. If an invoice from the Debtor File is (partly) paid, the total amount in the Debtor File (the Debtor File Amount) will be updated.
Debtor Collection Benefits
The advantage for your customer is that in case of several outstanding invoices, separate reminders are no longer sent for each outstanding invoice. This makes it easier for the debtor to keep track of which payments have not yet been completed. This contributes to a more customer-friendly reminder process and increases the chances of faster payment. Another advantage, for both the entrepreneur and the payer, is that a single payment link allows all outstanding invoices to be paid at once. Ultimately, a better insight into outstanding invoices - and the option to pay outstanding amounts at once - leads to fewer arrears in payments.
Activate debtor collection
The update is automatically available to all Buckaroo customers using the Credit Management Solution. There are no costs involved. You can activate the option in the Buckaroo Plaza.
For a technical explanation about Debtor Collection and how to set it up, please visit our developmentpage.
What is credit management?
Financial terms such as credit management, accounts receivable and accounts payable can sometimes be confusing. These are related, but in what way exactly? Here are the most frequently asked questions answered for you.
Financially stable with debtor management
So much to do... is an answer you might often give when people ask you if business is going well. Even in busy periods, it remains important to ensure that your customers are paid in time.