How does AI cash application handle partial payments?

Tesorio's Cash Application Agent uses ML models trained on your payment history to match partial payments accurately. It considers customer patterns, invoice amounts, remittance data, and payment terms to resolve even complex multi-invoice payments automatically.

Can it handle multi-entity or multi-currency payments?

Yes. Tesorio supports multi-entity, multi-currency environments natively. Cash application works across entities, and FX conversions are handled automatically using your ERP's exchange rates.

What happens when the AI can't match a payment?

Unmatched payments are routed to an exceptions queue with AI-suggested matches ranked by confidence score. Your team reviews suggestions in a streamlined interface, and the AI learns from every human correction to improve over time.

How does this integrate with our bank feeds?

Tesorio connects to your bank via Plaid for real-time transaction feeds, and also supports lockbox files, BAI2 formats, and direct bank portal integrations. Payment data flows in automatically for matching.

AI Cash Application

Cash Application

Tesorio's Cash Application Agent automatically matches incoming payments to open invoices using AI pattern recognition. It handles partial payments, deductions, and multi-entity matching — cutting close time and freeing your team from manual data entry.

Speak With a Human Try Interactive Demo →

4.7/5 on G2 (231 reviews)

90%+Auto-Match Rate

87%Forecast Prep Time Reduction

75%Bad Debt Reduction

Trusted by finance teams at

Case study

Product Demo

See Cash Application in action

dashboard.tesorio.com/cash-application

Drafted Payments·Auto-Match

Processing

Acme Corp

CUST-1204 · Wire · Mar 5, 2026

$47,832.16

TXN-20260305-8812

Acme Corp(CUST-1204)99.2%

INV-4521Open

$24,500.00

Invoice Amount$24,500.00

Balance$0.00

Applied By—

Days Overdue12d

INV-4589Open

$18,332.16

Invoice Amount$18,332.16

Balance$0.00

Applied By—

Days Overdue5d

INV-4601Open

$5,000.00

Invoice Amount$5,000.00

Balance$0.00

Applied By—

Days OverdueCurrent

Avg match time: 0.8sAuto-applied today: 234

Features

How Cash Application works

Intelligent Payment Matching

AI models trained on your payment history match incoming payments to open invoices with 90%+ accuracy. The system handles partial payments, overpayments, cross-invoice applications, and multi-entity matching without manual intervention.

Wire Payment

$47,832

Acme Corp

Auto-Apply

INV-4521

$24,500

INV-4589

$18,332

INV-4601

$5,000

Remittance Parsing

Automatically extract and parse remittance data from emails, PDFs, bank portals, and lockbox files. AI understands varied formats and maps remittance details to your invoices — even when customer reference numbers don't match exactly.

remittance.pdf

Pending

Payment Ref—

Amount—

Invoices—

Source—

Exception Management

Unmatched payments are routed to a prioritized exceptions queue with AI-suggested matches ranked by confidence. Your team reviews and resolves exceptions in a streamlined interface, and the AI learns from every correction to improve future accuracy.

Exception Queue

PMT-4821 → INV-1092

Partial: $18,200 of $24,750

87%

PMT-4819 → INV-1088

Amount: $5,000 vs $5,250

72%

PMT-4815 → Unknown

No matching reference

34%

Deduction Classification

AI agents automatically identify and classify deductions — trade promotions, pricing disputes, damaged goods, early payment discounts — routing each to the appropriate team with context and supporting documentation.

Deduction Classification

Auto-Apply28

Early Pay Disc.

Trade Promo

Review3

Pricing Dispute

Escalate2

Damaged Goods

Use Cases

Built for real scenarios

Cash App Specialist

Processing hundreds of lockbox payments daily

90%+ auto-match rate, same-day cash application

Controller

Accelerating month-end close across entities

Close time cut in half with fewer exceptions

AR Manager

Handling partial payments and deductions at scale

75% reduction in bad debt write-offs

Workflow

What changes in your workflow

Before

Manually matching payments in spreadsheets
Parsing remittance PDFs by hand
Three-day close cycle for cash application
Unresolved exceptions pile up for weeks

After Tesorio

AI auto-matches 90%+ of payments instantly
Automated remittance parsing from any format
Same-day cash application processing
AI-suggested matches clear exceptions in minutes

Integrations

Works with the tools you already use

Cash Application connects natively with your existing tech stack.

Results

Real outcomes from real customers

90%+Auto-Match Rate

50%Close Time Reduction

75%Fewer Exceptions

3xProcessing Speed

What Customers Say

“Tesorio's Cash Application handles the majority of our growing invoice volume. Our automatch rate has steadily climbed above 90% which has allowed our team to save time every day.”

Alex Wilcox

Senior Operational Finance Manager, Verkada

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