Lock box

From Wikipedia, the free encyclopedia

Lock box banking is a service offered by commercial banks that simplifies collection and processing of account receivables by having payments mailed directly to a location accessible by the bank.

[edit] General

In general, a lockbox is P.O. Box that is accessible by the bank. A company may set up a lock box service with their bank for receiving customers payments. The company's customers send their payments to the P.O. box. Then the bank collects and processes these payments directly depositing them to the company's account.

[edit] Resource

• National Check Fraud Center - LockBox Banking Pro & Con