Remittance advice
A notice sent by a buyer to a supplier confirming that a payment has been made and which invoices it covers.
A remittance advice is the message that tells a supplier a payment is on its way or has been sent, and which invoices it settles. It typically lists invoice numbers, amounts, any deductions or credit notes, the payment date and the payment reference. Without one, a supplier receiving a lump sum has to work out which invoices it relates to.
Remittance advices are usually sent by email as a PDF or generated by the buyer's accounting or banking system. They solve a real problem, but they are a one-way, after-the-event notice: the supplier learns what happened only once the buyer chooses to tell them, and has no view of invoices still waiting for approval.
They are also a fraud vector. Fake remittance advices are used to persuade suppliers that a payment has been made, or to trick recipients into opening malicious attachments. A shared payment record, where both parties see the same invoice and payment status in real time, removes the need for a separate notice and the risk that comes with trusting one.