Citi’s electronic and paper-based collection solutions increase efficiency and visibility, provide faster access to critical data, and make collections more predictable. Citii’s electronic and mobile solutions automate the collection process to reduce processing costs, accelerate collections, improve cash flow and optimize liquidity.
The use of electronic receivables solutions is growing, but in many markets, paper-based solutions still dominate. Citi’s custom, end-to-end lockbox solution serves the needs of organizations with a paper-based receivables process and includes retail, wholesale, complex exception processing and interactive services.
When linked to our comprehensive clearing network, Citi® Lockbox services accelerate the collection of receivables, reducing mail float while maximizing funds availability. Companies can make multiple deposits per day, using a uniform, optimized check clearing process in each region. Our high-speed processing environment and image-based platform offer many features, including advanced reporting and image inquiry.
Citi’s Lockbox services can help your company:
- Accelerate collection processes
- Reduce days sales outstanding
- Optimize working capital
- Improve management of credit exposure
- Reduce expenses and save critical resources
Electronic Check Deposit
Citi’s Electronic Check Deposit (ECD) service helps companies take full advantage of Check 21, a U.S. federal law that applies to checks issued in U.S. dollars. ECD makes the reprint of a scanned check the legal equivalent of the original paper check. With ECD, checks can be scanned in your office and the images electronically transmitted to Citi, eliminating processing costs, the need to deposit checks in person, and the expense of armored cars or overnight couriers.
Benefits of Citi’s ECD service include:
- Reduced float and presentment time
- Accelerated payment and credit given for funds
- Eliminate the costs of preparing paper checks for deposit
- Eliminate trips to the bank to make deposits
- Eliminate the expense of armored cars and/or overnight couriers
- Improved processing efficiency: Checks are in the system the day they are sent
- Faster notification of return items helps minimize risk
In key markets where cash and checks still play a significant role, Citi offers both a local branch solution for cash and check collections, and a vault depository solution. With our branch solution, Citi’s global network of branches and multiple collection points makes it easy to make deposits quickly and efficiently.
With our vault solution, daily cash deposits are collected and taken by armored carrier to a vault in Citi’s regional network. This service saves companies time and money, and provides a safer, more secure way to transport cash to and from stores, outlets, and offices.
Citi’s cash and check depository services are fully integrated with direct reporting of deposits and withdrawals, which are viewable online. Citi’s branch and vault services solutions make it easier to reconcile deposits made across multiple sites and geographies, allowing companies to use their resources for more productive, revenue-generating activities.
Companies using Citi’s cash and check collection services can benefit from:
- A local branch solution for cash and check collections, or the convenience of cash deposits being picked up and transported by armored carrier
- Depository services integrated with direct reporting of deposits and withdrawals
- Reconciled deposits across multiple sites and geographies
Direct Debit Services
Citi® Direct Debit Services is a solution for clients managing a direct debit program in-house. It offers your customers a convenient payment method and accelerates receivables, improving your cash flow. Simply collect authorizations and bank account information from your customers, and send instructions to Citi to debit your customers’ accounts via ACH to settle their outstanding obligations.
In Europe, Citi offers SEPA Direct Debit services, which enable cross-border and domestic collections across 32 countries by providing a single interface, infrastructure and standardized set of processes for increased efficiency.
Benefits of Citi’s Direct Debit Services include:
- Lower administration costs
- More predictable cash flow
- Increased accounting efficiency
- Reduced days sales outstanding
- Streamlined record keeping
- Improved control and security
Incoming Wires and ACH
Citi offers a global and domestic collection solution with incoming wire transfers. For domestic wire transfers, Citi provides a full range of Automated Clearing House (ACH) solutions, including collection of consumer payments via telephone, Internet or check-to-ACH conversion, as well as payments to employees and vendors. In Europe, Citi also offers a comprehensive suite of SEPA Credit Transfer solutions. In Asia, Citi provides an eLockbox service that receives invoice information for electronic wire transfers. The information can be received from Citi’s clients or their customers via fax, email, or other means, depending on the country.
ACH payment and receivables solutions can streamline payments and receivables processes for:
- Consumer-initiated bill payments and pre-authorized debits
- Direct deposit of payroll, pension payments and T&E reimbursements
- Vendor payments
- Mortgage and tax payments
- Dividend payments
Use Citi’s ACH solutions to receive payments from customers and benefit from:
- Timely collection and improved cash flow
- Reduced processing costs
- Improved customer satisfaction
- Increased security
Electronic Receivable Services
In some markets, electronic-initiated transactions have replaced paper checks as the most frequently used payment method, but many bill payment websites still convert electronic payments back into paper checks. These checks are typically processed as exceptions by your lockbox provider—costing you time, money and accuracy. Citi® Electronic Receivable Services, solves this problem by keeping your electronic-initiated payments electronic. This solution uses electronic delivery to eliminate mail float and exception handling, while also providing a higher level of data accuracy. Both the funds and the data are delivered to you within one to two business days, often several days faster than if processed as paper.
Organizations can use Citi® Electronic Receivable Services and benefit from:
- Faster, more accurate collection at a fraction of the cost
- Transaction data delivered quickly
- Accelerated receipt of consumer payments, improving working capital
- Reduced days sales outstanding
- Reduced customer delinquencies and inquiries
- Cost of processing electronic-initiated payments as lockbox exceptions is eliminated
Citi offers a comprehensive card acquiring service. Card acquiring enables businesses to accept debit and credit cards for payment and receive confirmation that the customer has a valid card and sufficient credit to cover the purchase. An important collection channel, card acquiring enables the capture of many types of sales transactions. Citi’s card acquiring solution includes value added services that streamline the collection process and ensure sales are quickly converted to cash.
With Citi’s card acquiring services, businesses can benefit from:
- Dynamic currency conversion that gives customers the option of paying in the local currency, or in their own currency to eliminate confusion and possible later disputes
- Tourist payment services that facilitate tourist spend by enabling eligible cardholders to reclaim local country tax for goods purchased
- Electronic gift cards: Benefit from cash advances, float and value never redeemed
- Online Web reporting of card transactions available in multiple languages
Citi’s Mobile Collections provide a secure, fast and flexible way to pay an invoice through any SMS-enabled mobile phone using multiple payment methods. Replacing cash and checks, Mobile Collections use mobile phone and SMS technologies to streamline and simplify the payment process, increase transaction control and eliminate the risks associated with cash payments. Payments are made and confirmed in real-time over a secure network, reducing the potential for fraud and providing an audit trail.
Both banked and unbanked businesses can use Citi’s Mobile Collections to:
- Increase the security and safety of a business and employees by keeping less cash on the premises
- Reduce the additional time, costs and risks involved with employee cash-handling
- Simplify supplier payments to save time and stay focused on running the business
- Use a more streamlined process for restocking supplies
Click here for more information about Citi’s receivables solutions.