People factor loads because they want to get paid faster than the terms on their invoice.
But there’s “fast” and then there’s “same-day fast.” When you need payment for your invoice within hours, not days, there are a few simple steps you can take to make sure your funds are ready when you need them—quickly and without any hangups:
1. Proof of delivery
It all starts with proper proof of delivery. If something is missing from your paperwork, your funding will be delayed until you get us the information.
2. Accurate “Instructions for Payment”
On your factoring contract, you filled out a section called “Instructions for Payment.” This tells us how and where you want us to send funds for your loads (a bank account, an express check or the EFS discount fuel card).
Make sure your routing and account numbers on the Instructions for Payment are accurate and up to date. If you want to add new account information, be prepared to send a voided check or a deposit slip so we can verify the numbers—those accounts have a lot of digits, and a mistake can cause delays.
If you want us to deposit funds into a different account than what’s listed on your Instructions for Payment, that’s no problem. We just need to know before noon Central time on the day of the transfer. Otherwise, the funds will go into your regular account by default.
Precisely when you receive your funds depends on our volume that day (we fund more than 800 accounts in our Cash4Truckers program).
3. Know your cutoff times
There are different cutoff times for invoice factoring and cash advances for fuel, so talk to your customer service representative about which deadlines apply to you.
If something urgent comes up—maybe you did a delivery at 11 a.m. and it’s a rush to get your information in—we can work with you on that.
Call us. We understand the pressures of your job and can help make sure you have the cash for daily expenses. As long as you have submitted your required paperwork on time, we’ll pay you for your invoices that same day.
Debbie Smith is Vice President at Advance Business Capital, DAT's strategic factoring partner. Debbie comes from the Asset Based Lending world, having worked at both The Associates and CitiCapital.
Categories: Carrier News