3 Payment Processes Software Companies Must Automate

Automating business processes for end-user customers is essential to the success of growing a business. As consumers continue to embrace payment technologies such as the use of QR codes, it becomes more important to deliver more convenience to end-users. Automated processes benefit your software users by providing lower costs, time savings, high levels of accuracy, better customer service and greater productivity.

#1 – Payment Collection

One of the most important functions of software used in business is the ability for a business to collect payments from its customers directly through their business software or app. There are several processes that can be implemented to assist in the collection of money from customers including the automation of invoicing, monthly statements, late notices, late fees and automated payment collections through the use of QR codes or embedded links contained within an emailed invoice or statement.

By providing easy-to-use payment links combined with automation of the payment collection process, businesses will see a significant reduction of delinquent accounts by providing convenience within the software. Since most people have at least one credit card attached to their smartphone, including a QR code on an invoice or statement makes the payment process efficient by scanning the code to complete the payment process immediately upon receipt. This automation tool is especially helpful in remedying delinquent accounts when the software is capable of sending a payment request on-demand that includes a QR code or payment link. No more excuses such as, “the check is in the mail”.

#2 – Onboarding Process

One convenience truly appreciated by end-user customers is the ability to safely store credit card data within an ISVs payment vault. Most people don’t want to go and fetch their credit card every time they want to make a payment on their account. Be sure your onboarding process for end-users includes an easy way to collect payment information such as a bank routing number, a PayPal account or credit card data. Storing payment information allows customers to simply click a link to make a payment using the stored card. This results in invoices being paid forty percent faster by making the process convenient. Incoming payments should also be automated to post to the customer’s account and send an immediate confirmation of payment or a receipt back to the end-user. An automated daily report of payments received makes it easy for business owners to quickly see what their daily income is based on the batch report submitted for the day. 

#3 – Set It and Forget It

Giving customers the opportunity to automate their payments can help prevent late or skipped payments. Consumers love the “set it and forget it” concept and a robust software package should include the option to set up automated payments in a variety of formats. Those formats include paying the minimum payment due, a set dollar amount each month or the balance due to be paid in full. A very important part of the automation payment collection process includes posting payments to the account or to a specific invoice.

Providing payment collection automation minimizes the chance of human errors on the part of the end-user customer or employees of the business receiving the payment. The human error potential for the end-user is forgetting to pay their monthly payment. This could result in late fees or increased interest rates as a result of missing a payment. Human errors on the receiving side are reduced by having incoming payments automatically posted to the proper account or invoice. By allowing the end-user to specify the intention of their payment and what it should be applied to will take the guesswork away from staff when an account has multiple open invoices waiting for payment to be applied.

More Information

If you are interested in learning more about automated payment options that can be incorporated into software development, contact Patrick Ward, SVP of Integrated Partners with Aurora Payments.