Lockbox

Since Billing and cash flows are often cyclical, shifting payment processing responsibility to lockbox alleviates the challenges of staffing to meet a limited number of peak periods or overburdening a small staff during critical periods.

How It Works

Each day, the bank picks up customer payments at the post office. We employ validity checks and data references to apply the payments accurately using our state-of-the-art check processing equipment. The customer payments are posted and we provide you with a remittance report of the posted payments.  We also handle the processing for any non-standard items, multiple remittance advices, hand-key items (items that need to be entered manually) and dishonored checks.

Benefits

• Streamlines payment processing so you just see the end result
• Accurate reporting for bookkeeping purposes

Who Should Use this Service?

Potential businesses include

• Non-profits such as religious groups, food banks or user groups.
• Municipalities for processing taxes, water payments, pet licenses, ticket penalties.
• Medical companies such as specialist groups, lab companies, hospitals, or urgent care facilities.
• Schools for tuition, donations, or alumni groups.
• Home Owners Associations for dues.

Other options

In addition to Lockbox Bank of Alameda offers the conversion of checks into Automated Clearing House (ACH) payments at the lockbox site to decrease processing time. ACH processing may result in a cost savings as compared to check processing and is a good option to consider.

A comparable product to lockbox is Remote Deposit Capture (RDC).  With Remote Deposit Capture, your organization scans your check deposits to the bank electronically.  For more information on Remote Deposit Capture, click here.