Statement Billing Statuses

As part of our month-end billing project or statement billing, there are multiple status options that a statement life cycle can have. Some of these statuses are adjusted through automation, while others need to be manually updated. In this article, we cover the different statuses, automation, and manual adjustment

 

A statement is used to determine the total amount owed by a certain entity during a specified timeframe, typically this is one month, however, this can also be daily, weekly, or annually. Every statement will start off with a status of “pending” and will cycle through to “processing”, and finally to “paid”. Below is a chart of all the possible statement statuses.

Statement Status

Explanation

Associated disbursement status

Statement Status

Explanation

Associated disbursement status

Pending

Pending payment

This is the starting status of every statement

Returned

If an associated disbursement has a status of “returned”, the statement can revert to “pending”

Processing

Payment has been initiated, but not confirmed

Processing

When the disbursement updates to “processing”

Paid

Statement has been fully paid

Processed

The disbursement updates to “processed” and the total matches the amount of the statement

Partially Paid

Statement has been partially paid

Processed

The disbursement updates to “processed” and the total is less than the amount of the statement

Cancelled

Statement has been cancelled. Example: client already paid by other means, or responsibility to pay has been waived

NA

This status does not receive an update from the disbursement

Partially cancelled

Statement has been partially cancelled. Example: Client has partially paid by other means, and the remainder has been waived

NA

This status does not receive an update from the disbursement

In order to understand how the statuses can be automatically updated, we need to understand how an entity can pay for a statement; The standard process to pay for a statement is by using our disbursement process, where a debit payout schedule is set up to collect the total amount of the statement on a recurring basis. In the below chart we will cover each disbursement Status, and how it can impact the statement.

Disbursement Status

Explanation

Impact to statement status

Disbursement Status

Explanation

Impact to statement status

Requested

The disbursement has been requested and will be processed on the next business day

No impact/change

Processing

The disbursement request has been processed

Status will change to processing

Processed

The disbursement has been fully processed

Status will change to paid or partially paid

Failed

The disbursement requested failed locally

No change, status will remain as pending

Denied

The disbursement request was denied by he processor

No change, status will remain as pending

Returned

The disbursement was returned / rejected by the issuing bank

status will change to pending or partially paid