Remittance advice

Remittance advice is like a special note that goes along with a payment. Imagine if you were giving someone some money for something they did, like helping you clean your room. When you give them the money, you might also give them a note or a message saying what the money is for. This is like remittance advice!

When a company or a person sends money to another company or person, they also send a remittance advice. This advice tells the other company or person what the money is for, like paying for a service or a product. Remittance advice can also include other important information, like the date the payment was made, the invoice number, and how much was paid.

When the other company or person receives the remittance advice, they can use it to match the payment with the right invoice, so they know who paid what and for what. This helps them keep track of their finances and make sure everything is paid for correctly.

So, remittance advice is like a special note that goes along with a payment to make sure everyone knows what the money is for and can keep track of it properly.