How to Apply One Payment Across Multiple Invoices in NetSuite ERP

📌 When a customer sends a lump-sum payment for several invoices, manually reconciling it line by line can be time-consuming. Fortunately, Oracle NetSuite ERP provides several built-in ways to streamline this whether through auto-apply, invoice grouping, bulk payment tools, or full automation using SuiteBanking.

Here's a step-by-step guide to applying one payment across multiple invoices in NetSuite ERP, covering all standard options (without SuiteBanking or paid add-ons).

How to Auto-Apply One Payment to Multiple Invoices

Option 1: Auto Apply Using Standard Customer Payment Form

Use when: A customer sends a lump-sum payment and you want NetSuite to automatically apply it to the oldest open invoices.

Steps:

1. Navigate to: Transactions > Customers > Accept Customer Payments
   
   
2. Select the customer who made the payment.
   
   
3. Enter the payment amount and payment method (e.g., ACH, check, etc.).
   
   
4. On the Apply subtab: Check the box labeled Auto Apply.
   
   
5. NetSuite will automatically apply the payment to the oldest invoices first until the balance runs out.
   
   
6. Review and click Save.

Option 2: Accept Payment for an Invoice Group

Use when: You want to apply one payment to a predefined group of related invoices.

Steps:

1. Navigate to: Transactions > Sales > Group Invoices > List
   
   
2. Select the Invoice Group you created earlier.
   
   
3. Click Accept Payment.
   
   
4. On the Payment screen:
   
   
   
   • Click Pay All to apply the payment across all invoices in the group.
     
     
   • Or manually uncheck any invoice you don’t want to include.
     
     
5. Click Save to post the payment.

Option 3: Use Bulk Customer Payments

Use when: You want to generate payments in bulk and apply them across multiple customer invoices based on pre-set criteria.

Steps:

1. Navigate to: Transactions > Bulk Customer Payments > View Bulk Customer Payments > New
   
   
2. Name the bulk customer payments record.
   
   
3. Set date criteria for the invoice search (e.g., “Offset Days From Current Date”).
   
   
4. NetSuite will display invoices that match the criteria.
   
   
5. Select invoices to include in the bulk payment.
   
   
6. Save the bulk customer payments record.
   
   
7. Run the bulk payments process (there may be a button like "Create Payments").
   
   
8. NetSuite will generate payments and apply them to selected invoices automatically.

Option 4: Manually Link Payments to Invoices

Use when: A payment was already received and you want to manually apply it to one or more invoices.

Method A: From Payment Screen

1. Go to: Transactions > Customers > Accept Customer Payments
   
   
2. Select the customer.
   
   
3. Choose the existing payment or enter new payment details.
   
   
4. On the Apply subtab: Manually check the boxes next to the invoices you want to apply the payment to.
   
   
5. Save the record.

Method B: From Invoice Screen

1. Navigate to: Transactions > Sales > Create Invoices > List > [Open Invoice] > Edit
   
   
2. Scroll to the Payment section.
   
   
3. Click Add, then select the unapplied payment from the list.
   
   
4. Enter the amount to apply and click Add.
   
   
5. Save the invoice.
   
   
6. Repeat for other invoices as needed.

If you have SuiteBanking and want auto-matching based on memo or bank info:

1. Go to: Setup > Accounting > SuiteBanking Setup
   
   
2. Enable Automated Cash Application.
   
   
3. Import bank transactions.
   
   
4. NetSuite will auto-match payments using memo text, invoice numbers, or customer identifiers and apply the payment across invoices.

Pro tip: For even smarter automation including handling short pays, overpayments, and consolidated remittances, Growfin plugs into NetSuite, matches tricky cases in real time, and alerts collectors so nothing slips through.