What is bill presentment?
Bill presentment is an online system that permits customers to receive and see their bill on a computer, and afterward pay the bill electronically. Users can pay their bills right away and the money is moved straightforwardly from their bank account.
More profound definition
As a cycle, bill presentment includes a company or person sending a bill or an invoice over the internet to the customer, subscriber or client to see before electronically paying the bill. While presentment is a cycle through which one party bills another party online, an outsider, the bank, pays the amount to the biller.
Certainly, this makes the most common way of sending and paying bills and invoices convenient and efficient.
Bill presentment is commonly utilized by contract banks and utility suppliers, and fills a similar need as a paper bill, however there is no paperwork included. When the bill is presented, the customer receives it through a secure website or by checking their email. Then, the customer pays the bill.
What's more, bill presentment empowers consumers to pay several billers all the while by working with a bank — a cycle known as online bill pay or online banking. Here, the customer determines the date for payment and the amount that will be paid from an online bank account.
Bill presentment model
Justin is an employee who needs to make his loan payment to EFG Co., yet due to a work commitment he can't go to the bank in person. The most convenient method for paying the loan is to have the company send him the bill through his email, where he checks it and completes the payment by submitting it online.
He does this immediately with a mouse click, and a similar amount is charged from his bank account. The system of review a bill online and afterward paying it is alluded to as bill presentment.
- Bill presentment is a guidance for an outsider to pay a predefined sum to the beneficiary in return for services delivered.
- EBPP further develops customer service and smoothes out the reconciliation cycle.
- Electronic bill presentment and payment (EBPP) has basically supplanted paper-based bill presentment.
- Customarily, this has depended on mailing paper bills and accepting payment via mail in return.