How We Apply Credits

Credit notes (also called Reconciliation Credits) are applied to your invoices in different ways depending on your payment method. Credits can only be applied to invoices that are issued to and from the same legal entity and in the same currency as the credit note. If a credit cannot be applied, contact us to request a refund.

Managing automatic credit application

If you pay by automated direct debit, you can manage your preference for whether credit notes are automatically applied before your payment is scheduled, using the Automatically apply credit notes setting under Company settings → Billing → Credit management. See How to manage credit application settings for the full walkthrough.

When this setting is on (the default), Remote applies your available credit notes to invoices before your direct debit payment is scheduled, reducing the amount collected for the remainder of the invoice balance.

What you need to know

• Credits apply before payment is scheduled, not after
• Your invoice PDF always shows the full amount due; this is expected
• The credit is applied at payment collection, reducing the amount actually charged
  • Example: an invoice for 1,000 USD with a 200 USD credit available shows 1,000 USD on the PDF, but only 800 USD is collected

If you're paying by direct debit or credit/debit card

Automated direct debit

Credits apply automatically by default, based on the Automatically apply credit notes setting described above:

• Credit created before the invoice: applies automatically to that invoice
• Credit created after the invoice: applies to your next billing cycle, unless you request manual application before the deadline shown in your invoice details
• If you turn the setting off, contact us via live messaging to apply credits manually. No deadline applies.

Manual direct debit (ACH, SEPA, BACS)

We can apply credits at any time, there is no deadline. Contact via live messaging to request credit application.

Credit or debit card

Credits cannot be applied in advance because card payments are collected immediately. Contact via live messaging before your payment is due, and we will apply the credit before charging your card.

If you're paying by bank transfer and want to use your available credit

1. Go to Remote invoices on the platform to check your available credit amount
2. Make sure the Automatically apply credit notes toggle is switched on in Credit management. This lets us know you'd like to use your credit, and we'll expect an updated balance
3. Subtract your available credit amount from your outstanding amount and pay the remaining balance
   • Example: if your invoice is 10,000 EUR and you have a 2,000 EUR credit note, transfer 8,000 EUR

Payment reference reminder

When making your bank transfer, include the following details so we can match your payment correctly:

• Customer name
• Invoice number
• Credit note number

Invoice types excluded from automatic application

Credits are not automatically applied to the following invoice types:

• COR and EOR Reserve invoices
• COR Prepaid Funds invoices
• PEO Payroll invoices
• Invoices in a different currency than the credit note
• Invoices from a different Remote billing entity (with rare exceptions)

When one of these invoice types is involved, the credit remains on your account and is automatically applied to the next eligible invoice once it is issued.

Credit note eligibility requirements

A credit note can only be applied when all three criteria match:

• Same Remote billing entity
• Same customer legal entity
• Same currency

Exception: we only permit applying credit notes across different Remote billing entities when the credit note includes the memo "usage for CA employee during [year]".

If any of these do not match, the credit cannot be applied.

Important notes about invoice PDFs

• The invoice PDF will not reflect any applied credit
• Once a credit is applied, you will see the updated balance in your Remote account, but the invoice PDF itself will not change

FAQs

• If I turn off automatic application, how do I apply credits? Turn the Automatically apply credit notes setting back on (see How to manage credit application settings), or contact us via live messaging with the credit note number(s) and invoice(s) for one-off manual application.
• Can I apply credits to past invoices? No, credits apply to current and future invoices only.
• I have a credit card saved. Will credits apply automatically? No, automatic application only works with automated direct debit. Contact via live messaging before payment is due to arrange manual application.
• Can a credit note be split across multiple invoices? Yes, the system can partially apply a single credit note across multiple invoices as needed.