Automated dunning, collections escalation, and aging management that recover cash without manual follow-up.
Replace spreadsheet-driven collections with configurable AR workflows: automated dunning sequences, rule-based escalation, real-time aging dashboards, and payment application — all connected to your ERP and customer portal.
The Problem This Solves
Before PaymentHub
AR teams manage collections through spreadsheets and email. Dunning is inconsistent — some customers get reminders, others slip through the cracks. Escalation depends on individual memory rather than rules. Aging reports require manual compilation from ERP data, and by the time they're reviewed, the information is already stale.
With PaymentHub
Dunning sequences execute automatically based on configurable rules. Overdue accounts escalate through defined tiers without manual intervention. Aging dashboards update in real time from ERP data. AR staff focus on high-value exception accounts rather than routine follow-up, recovering an average of 23% more cash in the first 90 days.
How It Works
Configurable Dunning Sequences
Define multi-step dunning workflows with configurable triggers, timing, and channels. A typical sequence might include: friendly reminder at 3 days past due (email), second reminder at 10 days (email + portal notification), escalation notice at 21 days (email to both customer and internal stakeholder), and hold notice at 30 days (email + account flag). Each step in the sequence is configurable: timing relative to due date, message template, channel (email, portal, both), and internal notification rules. Dunning sequences can be defined globally or overridden per customer segment, account tier, or individual account. Templates support dynamic merge fields from ERP data including invoice numbers, amounts, terms, and account contact information.
Rule-Based Collections Escalation
Escalation rules move overdue accounts through defined tiers automatically. Tier 1 (automated reminders) handles routine past-due accounts. Tier 2 (personal outreach) assigns accounts to specific collectors with priority ranking. Tier 3 (management escalation) notifies AR leadership and optionally places the account on credit hold. Each tier transition triggers configurable actions: internal notifications, account status changes in the ERP, portal access modifications, and CRM activity logging. The escalation engine evaluates accounts daily against the configured rules, ensuring no overdue account is missed regardless of AR team capacity.
Real-Time Aging Management
Aging dashboards pull data directly from ERP AR records and update in real time. Current, 1-30, 31-60, 61-90, and 90+ aging buckets display by customer, entity, collector, and segment. Drill-down to individual invoices shows the complete collections history: which dunning steps have executed, when the customer last interacted with the portal, and the current escalation tier. Aging data can be filtered by entity, customer segment, dunning status, and payment method to identify specific collection opportunities. The dashboard identifies the highest-impact collection opportunities — large balances with recent payment activity — and surfaces them to collectors as priority actions.
Automated Payment Application
When payments arrive — through the portal, ACH, wire, or check — they are applied to invoices automatically using configurable matching rules. Payment application follows entity-specific rules: oldest invoice first, specific invoice match by reference number, proportional allocation across open balances, or custom logic via upgrade-safe hooks. Credit memos, debit memos, and adjustments are processed through the same workflow with full GL posting. Unapplied payments route to the exception queue with AI-suggested resolution based on the customer's payment patterns and open invoice profile.
Architecture & Integration Notes
AR Workflows operate as a scheduled engine that evaluates accounts against configured rules on a configurable cadence (typically daily). The engine reads current AR state from the ERP, evaluates dunning and escalation rules, executes actions (send notifications, update statuses, create tasks), and logs every action. Before/after hooks allow injection of custom evaluation logic — for example, a hook that checks a customer's credit insurance status before escalating to credit hold. Workflow definitions are versioned and survive platform upgrades. The engine integrates bidirectionally with the AR Portal: dunning messages reference portal links for payment, and portal payment activity resets dunning counters.
AI Copilot for AR Automation Workflows
The AI copilot analyzes historical payment patterns to recommend optimal dunning timing and escalation thresholds. It identifies customers who consistently pay after a specific reminder cadence and suggests adjusting the sequence accordingly. The copilot generates dunning message templates optimized for response rate, recommends which accounts should receive personal outreach versus automated reminders, and projects cash recovery impact for different workflow configurations. During initial setup, it proposes dunning sequences based on your industry vertical and customer mix.
AI Copilot — Available on Growth & Enterprise Plans
AI Copilot reduces implementation time for ar automation workflows by automatically generating field mappings, test datasets, and validation scripts based on your ERP schema — so your team can ship faster without writing repetitive configuration code.
Ready to see AR Automation Workflows in action?
Book a Payments Blueprint call and get a live walkthrough tailored to your ERP and payment requirements.
Before & After PaymentHub
| Area | Before | After PaymentHub |
|---|---|---|
| Area 1 | Spreadsheet-driven with inconsistent follow-up | Automated dunning sequences with configurable escalation |
| Area 2 | 35+ hours monthly on routine follow-up across all accounts | Staff focus on top-20 exception accounts — routine handled automatically |
| Area 3 | Weekly aging report compiled manually from ERP data | Real-time aging dashboard with drill-down to invoice and dunning status |
| Area 4 | Inconsistent — depends on which accounts staff remember to follow up | 23% improvement in 90-day cash recovery through systematic automation |
Related Features
AR Customer Portal
Give your customers a branded payment portal with real-time invoice balances, multi-method payment acceptance, autopay enrollment, and payment history — every transaction posts automatically to your general ledger with invoice-level matching.
Automated Reconciliation
Match payments to invoices at the line-item level using AI-powered matching, apply entity-specific posting rules, and route exceptions to a prioritized queue — from 40+ hours of manual reconciliation to under 4 hours monthly.
ACH Enablement
Automated bank verification, one-click portal enrollment, ACH-first pricing incentives, and recurring ACH scheduling — making bank payments the path of least resistance for your B2B customers.
Frequently Asked Questions — AR Automation Workflows
Get your tailored implementation plan.
Our Payments Blueprint call delivers a written implementation roadmap specific to your ERP, your team, and your timeline.