Automation of the collections and credit process is defined by the rules you set. The rules should be based on experience with your customers and best practices.

Rules can always be changed. If a rule doesn’t give you the result needed, then adjust it and see if results improve.

Key automation rules for the credit and collections process include:


A top rule for automation of your credit and collection process is to have an effective onboarding process. Onboarding documents with correct customer master data will allow you to take full advantage of your automated processes.

Without valid customer master data, your team will waste time trying to identify and fix incorrect information, and the full benefits of your automated processes will not be realized. Current department email addresses (e.g. ), valid TINs, and other correct master data, also reduce errors, disputes, and unauthorized deductions.


Reminders are a key part of credit and collections automation. Without reminders, cash flow will decrease, and past due amounts will rise. The rules for reminders should include:

  • Use automated emails and collection calls – Well written and appropriately timed automated emails are key in the collections process, but they need to be supplemented by collection calls. Emails end up in spam or at the bottom of a full inbox. Reminder collection calls can get action sooner. It may just take a gentle nudge from a call to prompt a response.
  • Minimum of 4 touches – The mix of automated emails and collection calls that you use should touch the customer a minimum of 4 times. People are busier than ever as the economy opens. If you want to get attention be persistent. A few sporadic contacts are not usually enough to get action.
  • First outreach should be after the invoice is 14 days old – If follow up is too soon, it may be a waste of your time and irritate the customer. Timing is essential to a successful automated collections process.

Rules are key to automated credit and collections processes. Collections and credit automation can increase cash flow and productivity.

With a connected accounting solution for your AR and AP teams to coordinate work with customers and vendors, you can go digital and enjoy the benefits of office automation.

Lockstep, a leader in cloud-based connected accounting solutions, can help you boost productivity and optimize cash flow with:

  • Digital Onboarding – Collect master data directly from your customers and vendors
  • Accounting Inbox – Make it easy to divvy up work and track progress
  • Smart Automation – Automate menial task with accounting integration
  • Online Accounts – Give customers and vendors online access to their accounts

Lockstep is an experienced software partner that can help you increase efficiency and accelerate cash flow.

If you would like to learn more about how you can benefit from connected accounting solutions, please contact Lockstep or visit us at