Lockbox

Hills Bank Lockbox helps process your customer payments by handling the preparation and deposit of your accounts receivable payments for you.

Benefits include:

  • Reduced mail and processing float
  • Improved access to remittance information
  • Reduced risk and improved security since payments are no longer received internally
  • Improved control and record-keeping
  • Uninterrupted service

Our local processing allows us to customize our services to meet your company’s needs. We provide you online access to review customer payments and other information needed to reconcile your account receivables.

How it works: 

  • Your customers will send their payment and remittance to a PO Box in Hills, Iowa.
  • Hills Bank will retrieve mail daily and process your accounts receivables by scanning checks and any applicable remittance information into the lockbox system.

Types of Lockbox:

  • Retail Lockbox
    • Generally high volume and low dollar payments with machine-readable remittance.
    • Common for consumer-to-business payments.
  • Wholesale Lockbox
    • Generally low volume and high dollar payments with no machine-readable remittance.
    • Common for business-to-business payments.

To learn more about Lockbox or to get started, contact a member of our Treasury Management team