Accounts Receivable Automation
Cash that lands is cash you can see
A payment arrives with a remittance that does not match, so it sits unapplied. The invoice still looks open, the customer still gets chased, and the receivables report describes a week ago. VapusFin applies the cash, explains the difference, and puts the collections list in the order worth working.
The problem
Unapplied cash makes every downstream number wrong
Customers pay several invoices in one transfer, deduct amounts they believe they are owed, round to their own conventions and send remittance advice that arrives separately, late, or as a PDF nobody opens. Each mismatch becomes a manual investigation, and until it clears the invoice reads as unpaid. Collections chases customers who have already paid, DSO overstates the problem, and the disputes hidden inside those short payments are never classified, so nobody knows which ones repeat.
What it does
Inside Accounts Receivable
Cash application across every payment shape
Bank credits are matched to open invoices whether the payment covers one invoice, many, or part of one. Remittance advice is read from email, attachments and portal downloads, and used as evidence rather than as the only route to a match.
Partial payments and mismatched remittances
Where the amount received does not equal the amount invoiced, the difference is quantified and attributed — a deduction taken, a credit note applied, a rounding or currency difference, or a payment against an invoice not yet raised — rather than left as a suspense balance.
Deduction and short-payment classification
Short payments are classified by reason: pricing disagreement, damaged or short delivery, promotional or rebate claim, or an unauthorised deduction. Each class routes to the workflow and the owner that resolves it, so a pricing dispute does not sit in the same queue as a delivery claim.
Collections prioritised by likelihood and value
The chase list is ordered by predicted likelihood of collection and the value of the account, drawn from that customer's own payment history and open disputes. A first reminder to a reliable payer and an escalation on an aged, disputed balance are not the same task and are not treated as one.
Dispute trails that survive handover
Every deduction keeps the invoice, the remittance, the correspondence and the decision together. When ownership changes or the customer calls back six weeks later, the history is one record rather than an email search.
DSO analytics that name the cause
Days sales outstanding is reported by customer segment, region, product line and collections owner, and split between invoices genuinely unpaid and cash received but unapplied. That split matters, because only one of them is a collections problem.
How it works
From arrival to posted entry
- 01
Ingest
Bank credits, lockbox files and payment notifications are collected alongside remittance advice from email, attachments and customer portals.
- 02
Apply
Payments are matched against open invoices, including many-to-one and part payments, and applied. What cannot be matched with confidence is quantified rather than parked.
- 03
Classify
Every difference between invoiced and received is given a reason and routed to the workflow that resolves that reason, with the supporting documents attached.
- 04
Collect
The remaining open balance becomes a prioritised worklist, ordered by predicted likelihood of collection and account value, with the next action stated for each.
- 05
Report
Applied cash, open balances and disputes post back to your ERP, and DSO is reported by segment, region and owner from the same underlying records.
Questions
Frequently asked
- What happens when a payment cannot be matched to an invoice?
- It is held with the closest candidate matches ranked and the reason each one falls short — an amount difference, a customer identifier that does not resolve, a date outside the expected window. A person confirms or corrects it, and that correction is used the next time the same customer pays the same way.
- Do we need remittance advice for this to work?
- It helps and it is used wherever it exists, but it is not required. Matching also works from the payment amount, the payer, the reference field and the pattern of that customer's open invoices. Where remittance advice does arrive, it is read from email bodies, attachments and portal downloads rather than waiting to be forwarded.
- How does collections prioritisation decide the order?
- From the account's own history — how that customer has paid in the past, how long invoices of that size and type take, whether there is an open dispute on the balance, and what the account is worth. It produces an ordered worklist with a stated next action, not a score presented as a verdict. The order can be overridden and the override is recorded.
- Can it handle deductions that turn out to be valid?
- Yes, and that is the point of classifying them. A deduction traced to an agreed rebate or a genuine short delivery is closed as valid with the evidence attached, and the credit is raised. Only unauthorised deductions are escalated for recovery, so the collections team is not arguing about money the customer was entitled to keep.
- How much can we expect DSO to improve?
- We will state this once we have measured it, alongside how it was measured. A meaningful figure has to come from your own receivables ledger before and after, not from an average across other companies.
See it applied to your own receipts
Give us a period of bank credits, remittance advice and open invoices. We will show you what applies automatically, what does not, and what the differences turn out to be.
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