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Cash Application Agent

Updated yesterday

Overview

The Cash Application Agent is Tesorio's AI-powered solution designed to automate one of finance's most time-consuming tasks: matching payments to invoices. This intelligent agent processes both structured and unstructured data sources to increase match accuracy, reduce manual effort, and provide real-time visibility into your working capital.

How It Works

The Cash Application Agent leverages advanced AI algorithms to:

  1. Process multiple data sources - The agent automatically extracts payment details from:

    • Lockbox PDF files

    • Structured bank files (ACH, checks, payment feeds)

    • Remittance emails and attachments

  2. Smart Matching - As payments are imported, the agent's AI-powered matching algorithms identify the correct customer and open invoices.

  3. Continuous Learning - The agent learns from historical matches to improve accuracy over time, creating a more efficient process with each payment cycle.

  4. Seamless ERP Integration - Matched payments are automatically synced to your ERP system, maintaining it as the source of truth.

Key Features

Lockbox Processing

The Cash Application Agent automatically processes lockbox PDF files from your bank by:

  • Splitting PDFs containing multiple checks

  • Extracting relevant remittance details

  • Creating individual payments ready for matching

This automation eliminates manual data entry and significantly reduces processing delays.

Email Remittance Handling

The agent can analyze remittance emails and attachments to extract payment information, improving match rates without requiring additional manual effort from your team.

Multi-Invoice and Partial Payment Matching

When more than one invoice is possible, top recommendations are given so you can review and apply with ease.

The agent also gives multi-invoice recommendations for scenarios where a customer makes one payment to cover several open invoices.

Confidence Indicators

Each auto-applied recommendation comes with a clear confidence indicator:

  • High Confidence (Green Checkmark) - Matches based on reliable sources like bank files or remittance emails are auto-applied

  • Recommended Matches - When confidence is lower, the agent provides up to 5 strong recommendations for your review

Exception Handling

The agent flags payments with missing information (such as customer or invoice details) as "incomplete," ensuring nothing falls through the cracks in your reconciliation process.

To begin using the Cash Application Agent, contact your Tesorio customer success manager.

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