If your team uses a check lockbox service, Tesorio can automatically import check images from PDF files (or multiple PDFs in a .zip file) to create transactions for Cash Application in Tesorio. Many online banking platforms offer downloadable lockbox PDFs containing check images which can be uploaded directly by navigating to Administration > Flat File, or configured for automatic transmission via SFTP.
This feature is part of Tesorio's Cash Application module. To enable this feature, reach out to your Customer Success Manager.
How It Works
File Validation
When a file is imported, Tesorio validates the overall structure of the file. Tesorio can accept check lockbox files in the following forms:
Individual PDF
.zip files (which can contain multiple PDFs)
PDF Splitting
Next, Tesorio processes the file and identifies individual checks. Check documents often span multiple pages and can include the envelope of the check, check detail, and any additional remittance. All pages related to a single check are grouped into an individual document. If Tesorio identifies pages in the PDF that are not related to a check payment, they are excluded from processing.
Example:
A Check Lockbox from 12/1/24 totals $10,0000 and contains 3 different checks
The bank produces a PDF that contains 10 pages containing the checks and all supporting documentation received with them
Tesorio scans the 10 page PDF and identifies the individual checks and splits them as follows:
Check 1: $5,000 (pages 1-3 in the PDF)
Check 2: $2,000 (pages 4-7 in the PDF)
Check 3: 3,000 (pages 8-10 in the PDF)
Transaction Processing
Once the checks are split into individual documents, Tesorio processes these files using AI to identify all key payment information from the file. Tesorio identifies the following data points on the payment. If no data is available, the field is left blank:
Customer Name
Check Date
Deposit Date
Check Memo
Payment Amount
Check Number
Payer Bank Account Number and Routing Number
Lockbox ID
Remittance Lines
Invoice Number
PO Number
Description
Paid Amount
Original Amount
Once this data is extracted, Tesorio creates a draft payment and attempts to auto-apply it to an invoice in Tesorio. These payments are created under Customer Payments > Unposted Payments.
Users can review and enter any data that was not automatically extracted in order to post the payments to their ERP.