This document outlines the configuration options for handling overpayments and underpayments in debit memos and invoices, including payment methods and optional features like Invoice Settlement and File Processing Review.

1. Configure the overpayment behavior. Overpayment refers to a scenario in which the payment amount is greater than the debit memo/invoice amount.

   • Reject Lockbox Record - Payment will not be accepted by the system.
   • Pay as Credit Balance on Account - Debit memo/invoice payment will be processed and the remaining balance will become a credit on customer's account.
   • Find Next Oldest Document of Same Type (if none, create credit) - Current debit memo/invoice will be paid and the remaining balance will be applied to the most recent outstanding billing document of the same type. If there is no outstanding debit memo/invoice, the balance will be placed on the account as a credit.

2. Configure the underpayment behavior. Underpayment refers to a scenario in which the payment amount is less than the debit memo/invoice amount.

   • Reject Lockbox Record - Payment will not be accepted by the system.
   • Process Lockbox Record - Payment will be processed by the system with an outstanding balance remaining on customer's account.

3. Specify the debit memo number prefix, which is the input prefix used in debit memo numbering. You can also enter multiple invoice prefixes separated by a comma.

   For example, company Z identifies their debit memo by company-specific debit memo numbering of DMCODE11223344 or DMCODE00001234. The debit memo prefix is DMCODE.

4. Specify the invoice number prefix, which is the input prefix used in invoice numbering. You can also enter multiple invoice prefixes separated by a comma.

   For example, company Z identifies their invoices by company-specific invoice numbering of ZCODE11223344 or ZCODE00001234. The invoice number prefix is ZCODE.

5. Identify Payment Method.

   • Cash
   • Check
   • Wire Transfer
   • Other

6. Optional: If you use the Invoice Settlement feature, select Invoice Settlement. It must be enabled if the feature is supported. For more information about this feature, see Invoice Settlement for more information.

7. Optional: Select File Processing Review. If this option is enabled, you can review the ingested payment records before payments are processed. The files to be reviewed will remain in the Paused status until you take further review actions. See View lockbox runs for details about how to review the payment records on the Runs tab.

8. Click Create Lockbox.