What Is Bill Presentment?
A bill of presentment, like a bank check, is an instruction that directs a third party to pay the recipient a fixed sum. Today, electronic bill presentment and payment (EBPP), an online system that allows electronic invoices to be created, processed, and paid over the Internet or a mobile app, has functionally replaced paper-based bill presentment.
- A bill of presentment is an instruction for a third party to pay a fixed sum to the recipient.
- Electronic bill presentment and payment (EBPP) has essentially replaced paper-based bill presentment.
- EBPP improves customer service and streamlines reconciliation process.
Understanding Bill Presentment
Paperless billing, in the form of EBPP payment services, have become a core feature of online banking, allowing customers to review their mortgage, utility, and insurance bills through a secure website, before making a payment directly from their bank account at a specified date.
EBPP has been widely adopted in business-to-business ecommerce, because it saves everyone a lot on postage and transaction processing costs, and it can be used in cash management systems and on mobile devices. EBPP improves customer service and streamlines the reconciliation process as well as enables customers to pay faster, which improves cash flow.