Start your business
Start your business
Run your business
Run your business
Grow your business
Grow your business
Accountants and Bookkeepers
Accountants and Bookkeepers
- Accountants and Bookkeepers
  Learn how accountants and bookkeepers can be productive in these articles & guides
- Learning and Development
  A range of informative content to enhance your QuickBooks experience.
Updates
Updates
- Product Updates
  Watch this space for monthly product updates.
- Intuit News
  Latest news, articles & guides

Need help choosing a plan?

1800 917 771 Schedule a call

Schedule call

How to use BPAY payments to streamline your company’s financials

January 17, 20198 min read

If you’re a small business owner, the ability to move money quickly is critical. Being able to send money quickly makes you reliable, meaning that vendors will be more willing to work with you in the future. And being able to accept money instantaneously boosts your cash on hand and working capital, giving you more flexibility for business activities.

One of the options available for you to send money quickly is BPAY, short for ‘Bill Payment’. Today, we’re here to provide you with everything you need to know about the BPAY service so you can determine whether it’s a viable option for you to send and accept business payments. We’ll cover some of the most common BPAY FAQs so you have a clear understanding of how this service works.

What is BPAY?

BPAY is a service that allows business owners to pay their bills quickly and reliably. BPAY relies on internet banking. Internet banking sites are those that allow you to complete transactions involving your checking or savings account online.

Bill Payment is just one type of online banking option available. There’s a good chance that if you have an existing business account with a bank, you can complete transactions online. PayPal is another such option.

However, through all these options, BPAY Australia continues to be one of the most dominant and widely used throughout the country. More than 170 financial institutions offer BPAY as a payment channel through their online banking services. More than 45,000 companies in Australia accept BPAY. The company processes more than 30 million individual payments monthly, and recently said that it processes 1.6 million payments daily.

One of the reasons BPAY is a convenient mobile banking option is because it accepts an array of payment methods, including:

Cheques
Savings accounts
Checking accounts
Credit card accounts

What are the benefits of BPAY?

BPAY can be beneficial for small business owners because it makes it easier to track and manage money. You’ll receive the money within one business day when using the app, improving your day-to-day cash flow.

Additionally, you can sync BPAY Australia with your trusted accounting software. You can set up BPAY so that you automatically pay your bills or run payroll directly. You can opt to make recurring payments through the bill payment service for things such as rent or credit card bills. Being able to make payments automatically helps clear up time for you to focus on other aspects of your business.

How do BPAY payments work?

Setting up and using BPAY is straightforward. The first thing you’re going to need to do is head to your local Australian bank and inform them that you’d like to become a ‘BPAY Biller’. The organisation will then work to set up a BPAY account that connects with your existing bank account.

Once your bank sets you up as a new biller, you can start requesting money from customers. When you send a bill, you’re going to want to make sure that you include:

The BPAY logo
A customer reference number
Your BPAY biller code

Below, we’ll further detail what some of these terms mean.

You can also include other payment details, like the requested due date when sending your bill. Once a customer pays your bill, you should see the money in your bank account during the next banking business day, or one day after banks in Sydney and Melbourne can settle the transaction. BPAY will also send you an electronic bill payment file for your company’s records.

What is a customer reference number?

Your customer reference number (CRN) is a number that appears on each bill you send. The number is unique and can range anywhere from two to 20 numbers. As the business owner, you generate the number — it is not something set in stone or assigned by BPAY. Because the number is unique, customers can direct funds your way without having to provide any sensitive personal information. By looking at the CRN, you should know precisely who is providing you payment, so long as you keep diligent records.

Business owners in Australia typically use CRNs in two ways. The first is by using the same CRN number for each customer. For instance, imagine you purchase supplies from Joe’s Wholesale. You assign the CRN 556809 to this account. Whenever you send a BPAY to Joe’s Wholesale, you include the 556809 number. You can easily track all BPAY transactions associated with Joe’s Wholesale account.

The other way that business owners use CRNs is by treating them like invoice numbers. In this case, you change the CRN with each invoice you submit. Let’s say that in addition to Joe’s Wholesalers, you also work with Sarah’s Supplies.

When you send a BPAY bill to Joe’s Wholesalers, you use the CRN 0001. Then, when you send the next bill to Sarah’s Supplies, you use CRN 0002. This allows you to keep track of your BPAY requests chronologically. If you expect to receive multiple payments from a customer in a single billing period, you may find that this ‘variable CRN’ method works better.

The other thing that you may come across when setting up BPAY is an iCRN, short for ‘intelligent customer reference number’. You’ll need to work with your bank to set up your iCRN. An iCRN is an option that gives you a bit more control over when you receive payment on the bills that you submit to customers.

iCRNs allow you to set a specific amount for the customer to pay or a maximum amount that the customer is allowed to pay. They allow you to set a pay-by date for your bills as well. You can set a cut-off so that if customers pay after this date, they’ll owe additional funds in late fees.

Grow Your Business with QuickBooks

30-day free trial

Buy now and save

How do you set up your BPAY biller account?

Now that you understand how to bill your customers, let’s get set up. The first thing you’re going to need to do is head to your local bank. If you’d like to get a head start, you can complete the BPAY ‘become a biller’ form, and then contact your bank.

What is BPAY View?

Upon setting up your account, one of the things you’re going to come across is BPAY View. BPAY View is a service that makes it even easier for your customers to pay your bills. If you enroll in BPAY View, your bills will make their way directly to the recipient’s online bank.

The next time the user logs in to the account, he or she will receive a notification alerting them to the BPAY request you sent. The customer can then elect to pay the bill immediately or schedule a payment for a later date.

Because you’re sending the BPAY notification directly to your customer’s bank, you’re increasing the likelihood that the customer will see it promptly. Similarly, because you’re delivering the bill directly to the customer’s bank, you increase the likelihood that the customer takes time to set up a payment.

One of the other options with BPAY View is to include external web links. You could add a link to a special offer or promotion that you’re running. For example, perhaps you include a link specifically for repeat customers. Because the only way a customer can receive this link is through BPAY, you ensure that it’s only repeat customers who use the link.

As is the case with the standard BPAY service, your bank conducts this operation. As such, your bank is the organisation in charge of setting fees for this service. If you’re interested, be sure to mention the View option when opening your BPAY Biller account with your local bank. Be aware that your bank may charge you additional funds to use BPAY View.

What’s the cost of using BPAY?

The answer, in short, is that it depends. BPAY in and of itself does not charge anything. You likely won’t have to pay anything to set up your account. Where things get a little trickier is when your bank decides to charge you fees to use the BPAY service.

Because your bank delivers the BPAY service, which is a third-party service, there may be some fees associated with completing a transaction. You’ll want to speak with your bank ahead of time to gain a better understanding of what those fees are going to be. If you feel that the fees at one bank are too high, consider shopping around and opening another bank account to secure a better rate.

Also, remember that there may be additional fees for opting to use credit card payments. The various credit card companies determine these fees. If you don’t account for them when sending your bill, the processing fees will come from your funds directly. Visa, for instance, charges fees of 1.51% of the transaction plus a 10 cent fee.

How do BPAY payments work?

At some point, another business, like a vendor, may send you an electronic bill and request that you make payments via the BPAY website. This process is much simpler, as you technically don’t need to have a biller account to complete a BPAY payment.

All you need to do is log in to your mobile, online, or over-the-phone banking service. Once in, you should be able to see the BPAY logo. Click this to indicate that you’d like to make a payment. Upon doing so, enter the biller code that the vendor provided you. If the vendor did not provide such a code, you’ll want to follow up ASAP.

The vendor will likely request that you complete a few details before sending payment. The type of information you’ll probably have to include, in addition to the vendor’s biller code and customer reference number, are the payment date and amount. Complete the BPAY transaction, and you’ll be good to go. The vendor will receive your payment the next business day.

Simplify your business with BPAY

BPAY Australia is one of the most popular payment options in the country. As a small business owner, you should consider taking a few minutes to set up a BPAY Biller account so that you can accept payments.

While it’s easy for you to make payments without an account, you’ll need an account if you wish to receive funds. Accepting funds through BPAY not only improves your cash flow, as you receive money in one business day, it also makes life much easier for your customers. By making life easier on your customers, you increase the likelihood of being paid on time. Linking BPAY to your internet banking service further increases the likelihood of on-time payment.

So, consider heading to your local bank to set up your BPAY Biller account. And remember that upon doing so, you should link to your accounting software to help with scheduled payments, allowing you to maximise the benefits of the BPAY program.

Looking for something else?

Get QuickBooks

Smart features made for your business. We've got you covered.

See how it works

Help Me Choose

Use our product selector to find the best accounting software for you.

Choose your product

QuickBooks Support

Get help with QuickBooks. Find articles, video tutorials, and more.

Start learning

Stay up-to-date with the latest small business insights and trends!

Want more? Visit our tools and templates!

First Name*

Email*

What best describes you?*

By signing up you are agreeing to our terms and privacy policy.

- - QuickBooks reserves the right to change pricing, features, support and service at any time. Prices are in AUD and include GST. See our Terms of Service for further information.
  - Pricing: All prices are in AUD and include GST.
  - ProAdvisor Program: Please find the terms of our ProAdvisor program here.
  - 75% off for 6 months: For new subscribers, enjoy a 75% discount off the current monthly retail price for QuickBooks Self-Employed, QuickBooks Online Simple Start, QuickBooks Online Essentials or QuickBooks Online Plus for the first 6 months of your subscription (Offer). The discount will applied from the date of your enrolment and will continue for 6 months. From month 7, you will be charged the then current monthly retail price for your subscription. See current prices here. QuickBooks Payroll and QuickBooks Time prices are not eligible for any discount and will be invoiced separately according to your usage on a monthly basis during your subscription. Intuit reserves the right to request information to verify the eligibility of a purchaser of the Offer. Acceptance of such verification information is at the reasonable discretion of Intuit, which may revoke the Offer and impose a monthly cost for the subscription at the then current retail prices, at any time if it considers the purchaser is ineligible for the Offer.
  - 50% off for 12 months: For new subscribers, enjoy a 50% discount off the current monthly retail price for QuickBooks Self-Employed, QuickBooks Online Simple Start, QuickBooks Online Essentials or QuickBooks Online Plus for the first 12 months of your subscription (Offer). The discount will applied from the date of your enrolment and will continue for 12 months. From month 13, you will be charged the then current monthly retail price for your subscription. See current prices here. QuickBooks Payroll and QuickBooks Time prices are not eligible for any discount and will be invoiced separately according to your usage on a monthly basis during your subscription. Intuit reserves the right to request information to verify the eligibility of a purchaser of the Offer. Acceptance of such verification information is at the reasonable discretion of Intuit, which may revoke the Offer and impose a monthly cost for the subscription at the then current retail prices, at any time if it considers the purchaser is ineligible for the Offer.
  - 30% off for 3 months (Advanced): For new subscribers to QuickBooks Online Advanced, enjoy a 30% discount off the current monthly retail price for the first 3 months of your subscription (Offer). The discount will apply from the date of your enrolment and will continue for 3 months. From month 4, you will be charged the then current monthly retail price for your subscription. See current prices here. QuickBooks Payroll and QuickBooks Time prices are not eligible for any discount and will be invoiced separately according to your usage on a monthly basis during your subscription. Intuit reserves the right to request information to verify the eligibility of a purchaser of the Offer. Acceptance of such verification information is at the reasonable discretion of Intuit, which may revoke the Offer and impose a monthly cost for the subscription at the then current retail prices, at any time if it considers the purchaser is ineligible for the Offer.
  - 30% off for 12 months (Advanced): For new subscribers to QuickBooks Online Advanced, enjoy a 30% discount off the current monthly retail price for the first 12 months of your subscription (Offer). The discount will apply from the date of your enrolment and will continue for 12 months. From month 13, you will be charged the then current monthly retail price for your subscription. See current prices here. QuickBooks Payroll and QuickBooks Time prices are not eligible for any discount and will be invoiced separately according to your usage on a monthly basis during your subscription. Intuit reserves the right to request information to verify the eligibility of a purchaser of the Offer. Acceptance of such verification information is at the reasonable discretion of Intuit, which may revoke the Offer and impose a monthly cost for the subscription at the then current retail prices, at any time if it considers the purchaser is ineligible for the Offer.
  - 30% off for 3 months (existing subscribers): For existing QuickBooks subscribers who upgrade to QuickBooks Online Essentials, Plus or Advanced, enjoy a 30% discount off the current monthly retail price for 3 months of your subscription (Offer). The discount will be applied from the date you upgrade in-product and will continue for 3 months. From month 4, you will be charged the then current monthly retail price for your subscription. See current prices here. QuickBooks Payroll and QuickBooks Time services and prices are not eligible for any discount and will be invoiced separately according to your usage on a monthly basis during your subscription. Intuit reserves the right to request information to verify the eligibility of a purchaser of the Offer. Acceptance of such verification information is at the reasonable discretion of Intuit, which may revoke the Offer and impose a monthly cost for the subscription at the then current retail prices, at any time if it considers the purchaser is ineligible for the Offer.
  - Free Trial: First thirty (30) days of subscription to QuickBooks Online, QuickBooks Self-Employed and QuickBooks Payroll (including QuickBooks Advanced Payroll), starting from the date of enrolment, is free. During the free trial, you may pay any number of employees using QuickBooks Payroll free of charge. To continue using QuickBooks after your 30-day trial, you'll be asked to present a valid credit card for authorisation and you'll be charged monthly at the then-current fee for the service(s) you've selected.
  - QuickBooks Payroll powered by Employment Hero: Payroll services are offered by a third party, Employment Hero. QuickBooks Payroll is only accessible via QuickBooks Online subscriptions. You will be charged $5.00 (incl. GST) per month for each ‘active employee’ paid using QuickBooks Payroll. An ‘active employee’ is one who has been paid at least once in the billing month. For Advanced Payroll, there is an additional monthly subscription fee of $10 (incl GST). Pricing, terms and conditions, including service options, are subject to change.
  * Employment Hero was voted the leading payroll solution for SMBs <50 employees (Australian Payroll Association 2021 Payroll Benchmarking Study)
  - Customer support: Call or chat to an expert for QuickBooks Online Accountant, QuickBooks Simple Start, Essential, Plus, and Advanced or use in-product QB Assistant and chat for QuickBooks Self-Employed. You'll also find useful resources in the QuickBooks Community.
  - Compatible Devices: QuickBooks Online, QuickBooks Self-Employed and QuickBooks Payroll require a computer with Internet Explorer 10, Firefox, Chrome, or Safari 6 and an Internet connection (a high-speed connection is recommended). The QuickBooks Online mobile app works with iPhone, iPad, and Android phones and tablets. QuickBooks Online and QuickBooks Payroll are accessible on mobile browsers on iOS, Android, and Blackberry mobile devices. Devices sold separately; data plan required. QuickBooks Payroll cannot be used on the mobile apps. Not all features are available on the mobile apps and mobile browser. QuickBooks Online mobile access is included with your QuickBooks Online subscription at no additional cost. Data access is subject to cellular/internet provider network availability and occasional downtime due to system and server maintenance and events beyond your control. Product registration required.
  - Get paid faster: Get paid 2.5x faster invoicing with PayPal
  * PayPal and QuickBooks customers get paid on average in less than 5 days, which is over 7 days faster than the average for invoices that get paid with other payment methods. Data is for paid invoices that were created in QuickBooks in Australia between 23.05.22 and 23.11.22
  - Tax deductions: Tax deductions not guaranteed due to being subject to user data entry errors. Mileage calculation provided by the Australia Taxation Office - 78 cents per kilometre from 1 July 2022 for the 2022-2023 income year. To a maximum of 5,000 business kilometres per car (Deductions are only applicable to cars)
  - Customer Service Awards: Excellence in Customer Service Award at the CX Australia Awards 2022
  - Multiple file discount: Multiple file discount applies to QuickBooks Australia customers only and valid when signing up for more than one QuickBooks Online subscription in one order. Further terms and conditions available here. Not applicable to QuickBooks Self Employed.
  - Reviews: GetApp, Capterra, Google Play Store, Apple App Store reviews as at date 08/01/24.
  - Cost per day claim: Based on a QuickBooks Simple Start Plan at its regular retail price of $25 per month and a 31 day month.
  - Cost per day claim (annual): Based on a QuickBooks Simple Start Plan at its regular retail price of $270 per year and a 365 day year.
  - Annual Billing: You may pay for your QuickBooks Online subscription on an annual, upfront basis to enjoy a discount on the current fees. If you use QuickBooks Payroll powered by Employment Hero, your payroll costs will still be charged monthly to your nominated payment method in accordance with your usage as set out here. If you cancel your QuickBooks Online subscription within the pre-paid 12 month period, you will not be eligible for a refund, but will retain full access to your QuickBooks Online subscription for the remainder of the 12-month period. Unless cancelled by you prior, your annual subscription will auto-renew on the 12 month anniversary of your sign-up date using the billing details you have given us. Discounts, prices, terms and conditions are subject to change.
  - Over 7 million customers: Based on number of global QB customers (ecosystem) (7.1m) worldwide as of October 2022.
  - Free Onboarding: Applicable to Buy Now subscriptions on QuickBooks Simple Start, Essentials and Plus plans. Not available for QuickBooks Self-Employed.
  - Save Hours: Save up to an average of 29 hours per month with QuickBooks.
  - * Based on a survey conducted by Intuit Australia Pty Ltd in September 2022. Time saving is in comparison to previous accounting method, based on 184 responses from customers that saw time savings.
  - Get access to QuickBooks Tax: ***Access QuickBooks Tax, powered by LodgeiT, by becoming a member of the QuickBooks ProAdvisor Program (it’s free to join). Find out more about the ProAdvisor Program here, including the terms of the QuickBooks Tax offer in the Program here.
  - QuickBooks Time Disclaimers & Offers for Australia: For Important pricing offers and disclaimers with further information, please see here.
  - *Full terms and conditions for access to QuickBooks Tax, powered by LodgeiT as part of the the Proadvisor Program can be found here. QuickBooks reserves the right to change pricing, features, support and service at any time.
  - **Intuit conducted a study involving 56 interviews with accountants and bookkeepers who used Books Review for BAS preparation between March to December 2021 and found that when using Books Review, participants reduced the time spent preparing their clients BAS Reports by around 40%.
  - Our Terms of Service apply to all QuickBooks Online subscriptions. Please review them carefully.

How to use BPAY payments to streamline your company’s financials

What is BPAY?

What are the benefits of BPAY?

How do BPAY payments work?

What is a customer reference number?

Grow Your Business with QuickBooks

How do you set up your BPAY biller account?

What is BPAY View?

What’s the cost of using BPAY?

How do BPAY payments work?

Simplify your business with BPAY

Related Articles

Looking for something else?

Get QuickBooks

Help Me Choose

QuickBooks Support

Stay up-to-date with the latest small business insights and trends!