Cash Management Fees

Billion Financial Advisors > Cash Management Fees

Bank Fees or Cash Management fees have become increasingly complicated over time and most companies neither understand the services that they are being charged for nor do they understand the basis for the cost of those services. For example, in the 1960’s there were only 55 services being charged for by the banks. Today there are over 2,500 services with complex pricing which differ from bank to bank making it significantly difficult to understand. With competing priorities, companies don’t often have the time to look into these services which at times even the Banks themselves don’t understand as they have been developed over several years.

Billion Financial simplifies this complex system of cash management services and fees enabling you to not only pay the right price for your services but also ensure that you’re paying for the services you actually need.

Our technology engine powers pricing benchmarks built over 20,000 bank fee analysis statements enabling us to accurately benchmark your fees and services from any Bank globally.

Our experts have over 30 years of experience negotiating fees on behalf of some of the largest corporations globally and have conducted over 1,000 bank negotiations making us by far the only experts in this space.

We review cash orders, deposit tickets, bag processing, lock box arrangements, pickup & delivery fees, ACH transfers, wire transfers, back credits, and much more, leaving no opportunities overlooked.

Our negotiators have worked with several Fortune 500 companies over the years saving them over $300 million averaging 27% savings per company.

Bank Fees or Cash Management Fees can be broken down into 6 main categories

Lockboxes

A lockbox is a bank-operated mailing address to which a company directs its customers to send their payments. The bank opens the incoming mail, deposits all received funds in the company’s bank account, and scans the payments and any remittance information. The scanned images are posted to a secure website, where the company’s accounting staff can access the images to apply payments to outstanding accounts receivable.
Banks can charge for over 200 different services for lockboxes which most clients find difficult to understand. We go through line by line and find delays, errors, disruptions in processing as well as redundancies and in the process generate significant savings for our clients. We also recommend best practices based on industry knowledge helping our clients upgrade to the latest technologies being implemented.

Information Reporting

Reports are an extremely important source of information for any company to monitor its receivables and payables. Reporting is an integral part of any operation and can vary from prior period reporting to current day reporting. Once again banks can charge huge amounts for pulling reports multiple times a day causing significant increase in costs. We look at all reports, pricing inconsistencies as well as process improvements to generate savings for our clients.

  • Checks Paid
  • ACH & Wires
  • Depository
  • Miscellaneous