An AI remittance advice agent builds a remittance notice for each vendor payment by pulling the invoices, credit notes and deductions the payment settled.
The payment record lands in the ledger and the agent notices it.
It lists every invoice and credit note the payment closed.
It drafts lines, deductions and totals in the vendor's preferred layout.
Lines are totalled against the payment amount and gaps are flagged.
The clerk edits wording, resolves flags and sends the advice.
Recipient, time and content are stored against the payment.
It checks that the lines on the notice add up to the payment amount and flags any payment that cannot be fully explained from the records.
It prepares the notice in the vendor's preferred format and logs who received it, so later questions about what was paid can be answered from one place.
A single payment often settles many invoices, and vendors need to know exactly which ones to apply it to. Done by hand, notices are rushed, late or missing, and the questions that follow cost more time than the notice did.
One payment may cover several invoices plus a credit note, and vendors cannot apply cash if the split is not shown.
Short payments for disputes, tax withholding or offsets create queries when the reason is not on the notice.
Whoever ran the payment must remember to tell the vendor, and that step is easy to skip when a run is busy.
Some want PDF by email, some want a portal upload, and some want a plain list of invoice numbers.
Without a log, nobody can say when the vendor was told or what the notice contained.
The agent reads the completed payment, its date, method and amount, and the list of invoices and credits it settled.
For each invoice it lists the invoice number, date, gross amount, deductions and amount paid, using the figures held in the ledger.
It sums the lines and compares them with the payment amount. Any gap is shown as an exception rather than hidden in a rounding line.
It drafts the advice in the vendor's preferred format and contact, using your standard wording for deductions and reasons.
The draft is placed in a send queue for your team. Once sent, the agent records the date and recipient against the payment.
Bring a small sample and watch Flo work through it.
| Aspect | By hand | With the agent |
|---|---|---|
| Notice assembly | Clerk copies invoice numbers from the payment run into an email by hand. | Agent compiles lines from payment and invoice records for each vendor. |
| Deduction wording | Reasons for short payment depend on who remembers the dispute. | Each deduction carries the linked credit note or dispute reference. |
| Format per vendor | Layouts vary and are rebuilt every time. | Vendor format preference is held once and reused. |
| Proof of notice | No record of what was sent or when. | Sent notice and recipient are logged against the payment. |
| Vendor chasing | Where is my money emails arrive with nothing to point to. | Support staff open the logged advice and answer from it. |
| If | Then | Who decides |
|---|---|---|
| A payment settles several invoices and a credit note | List each item separately with the credit shown as a negative line | AP clerk confirms the split |
| Line totals differ from the payment amount | Hold the draft and show the unexplained difference | AP lead investigates |
| A deduction has no linked reason | Mark the line as unexplained instead of guessing | AP clerk adds the reason |
| Vendor prefers portal upload over email | Prepare the file for the portal rather than an email body | AP clerk uploads it |
| Payment was returned or failed by the bank | Withdraw the draft and flag the payment for review | Treasury analyst |
| Vendor contact on record is missing or stale | Draft the notice but leave the recipient blank and flag it | Vendor master data owner |
The agent splits the notice by legal entity and flags the mix. The AP lead decides whether one or two advices go out.
The notice shows invoice currency and paid currency side by side with the rate recorded in the ledger. A person confirms the rate is the one used.
The logged notice and its source records are retrieved together. The AP lead replies and issues a corrected advice if needed.
The notice shows the remaining open balance. The clerk checks the balance matches the vendor's own view before sending.
Talk it through with the team. We will map it to your steps and show where a person stays in control.
Start with vendors that query payments most often and compare drafts with notices sent by hand.
Clerks edit and send each advice while the team notes which flags prove useful.
Bring in portal-style and per-entity layouts once the standard email notice is trusted.
Extend to all payment runs, keeping send as a person's action and reviewing exceptions monthly.
Read this by vendor and by payment method. A low figure for one method usually points to a process gap in that run.
Quick answers to what people ask most about remittance advice.
Book a demoIt assembles the notice that tells a vendor what a payment covered, checks the figures against the payment, and queues the draft for your team. People review and send it.
No. It prepares the notice and logs it. A person in AP releases it, so wording and recipients stay under your control.
The agent shows the gap as an exception and holds the draft. Your team finds the cause, such as a missing credit note, before the notice is released.
Yes. It shows the amount paid against each invoice and the balance still open, using the figures in your ledger, so the vendor can apply cash correctly.
Payment status is the answer to where is my payment: whether an invoice is received, approved, scheduled, released or paid, and when.
→Accounts payable is the process of recording, approving and paying what a company owes its suppliers.
→Payment execution is the stage where approved payments are actually sent, through a bank, payment platform or card, and the instruction leaves your control.
→Accounts payable aging is a report that groups unpaid supplier bills by how long they have been outstanding or how soon they fall due.
→Bring a small sample of real items. We will show what Flo handles on its own and where it hands over to your team.
