Remittance advice
Remittance advice is the note a payer sends alongside a payment, listing which invoices it covers — so the receiver can match the money to the right bills.
A remittance advice is a short note from the payer that says what a payment is for — usually a list of invoice numbers and the amount applied to each — so the receiver can tie the incoming money to the right invoices.
How it works
- A customer pays a lump sum covering several invoices.
- The remittance advice breaks that sum down: invoice 1041 in full, 1042 part-paid, a credit note deducted.
- The receiver uses it to apply each portion to the correct open item.
Without it, a single payment is just an amount with no instructions — you can see the money arrived, but not which bills it clears.
Why it matters
Remittance advice is the difference between a five-minute match and an afternoon of detective work. When a payer settles ten invoices with one transfer and no note, someone has to reverse-engineer the split — and a mismatch of even a few pounds leaves the whole payment stuck. It’s a small document that decides how painful cash application is.
How Fynex does it
Because Fynex issues the invoices and collects the payments in one place, it already knows what each payment should clear — so remittances reconcile back to the books as journal entries instead of arriving as an unmatched transaction to untangle. See reconciliation.