Remittance advice
Remittance advice accompanies or describes a payment and identifies the invoices or other items being settled. It helps the recipient allocate the amount received to the correct customer balances. If one payment covers several invoices, the advice helps avoid allocating it to the wrong outstanding balance.
Worked example
A customer pays 800 and sends advice identifying the two invoices covered.
Common mistake
Treating the advice as a new invoice or assuming it proves the bank has cleared the payment.
Where it appears in your exams
| Qualification | Exam | Relationship | Period |
|---|---|---|---|
| ACCA | F1 | Direct | July 2027–August 2028 |
| ACCA | FA | Direct | September 2026–June 2027 |
| ACCA | K1 | Direct | July 2027–August 2028 |
| FIA | FFA | Direct | September 2026–June 2027 |