Key takeaways
- BILL implemented an API-based sub-ledgering solution designed to manage millions of payments in real time, on most platforms, all with one demand deposit account (DDA).
- Payment posting times reduced from 2-3 days to seconds in many cases.
- Operational efficiency improved by significantly reducing manual reconciliation of thousands of daily payments.
Traditional ACH and wire processing delays can paralyze small business cash flow. When payments take days to settle, businesses often experience a temporary, forced pause in spending, locking up available credit.
To address this challenge, BILL, an intelligent finance platform helping 500,000 small and midsize businesses manage, move and maximize their money, integrated our embedded payments offering into its payments infrastructure.
J.P. Morgan Payments’ API-based sub-ledgering solution is designed to manage millions of payments in real time, on any platform, all with one demand deposit account (DDA).
“The ability for us to gain access to the ledgering capability, visibility and reconciled event structure was incredibly important to us,” said Mary Kay Bowman, Executive Vice President, Payments and Financial Services at BILL. “These are the types of solutions that, typically, small and midsize businesses don’t have access to, except through BILL. We’re leveling the playing field with these solutions.”
Previously, BILL’s customers used the BILL Divvy Card to enable employees across their businesses to make purchases. However, when they exceeded their available credit, they faced delays sometimes upwards of 2-3 days for the funds to clear and post to their account. During this waiting period, employees were often unable to make necessary purchases.
With our embedded payments solution embedded into BILL’s platform, incoming payments are automatically routed and posted as soon as funds arrive. Payment posting times dropped from 2-3 days to minutes or seconds, customer onboarding accelerated from 2-3 days to the same day, and the time from purchase need to actual spend compressed to seconds.
The solution also improved BILL’s internal operations. By using virtual account identification numbers linked to a single DDA, BILL can more efficiently reconcile incoming and outgoing payments to the correct customer, eliminating reconciliation headaches for BILL’s Treasury team and saving approximately 20 hours per week on manual processes.
To learn more, read the full case study here and check out media coverage in American Banker. For more information about how we provide real-time payment visibility, click here.
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