Overview
Multiple selected bills can appear as one combined payment in your banking file. The bank payment groups the cash amounts being paid, while the individual bills remain separate in Batchly and Xero.
This article explains consolidation in Australian ABA files. Other banking formats have their own grouping and reference rules.
How consolidation works
For ABA exports, Batchly groups selected bills by the destination BSB and bank account number. Bills with the same destination banking details are combined into one payment line in that file.
- Only bills included in the run contribute to the payment.
- The combined amount is the total cash amount for those bills, after allowing for credits and any selected partial settlement amounts.
- Bills with no cash amount do not contribute a payment line.
- The number of bank payment lines can therefore be lower than the number of selected bills or supplier contacts.
Grouping follows bank details, not the supplier name. Different supplier contacts with the same BSB and account number can be combined. Review shared bank details carefully, particularly where each contact requires a different payment reference.
Example
You select three bills for the same destination bank account:
| Bill | Cash amount in this run |
|---|
| INV-101 | $400 |
| INV-102 | $250 |
| INV-103 | $350 |
| Combined bank payment | $1,000 |
These are the cash amounts selected for this run, which may differ from the original invoice totals. The three bills remain separate records.
Which reference appears in the ABA file?
Each combined payment has one lodgement reference. Batchly uses the first available reference in this order:
- The supplier’s payment reference from Xero
- The supplier contact’s account/customer reference from Xero — this is not their bank account number
- The optional lodgement reference entered for the batch
- The invoice number, only when the payment group contains one bill
- PAYMENT DDMMYYYY, using the file’s payment date
For example, if a combined payment has no supplier or batch reference and the payment date is 9 September 2026, the fallback is PAYMENT 09092026.
Multiple bills do not automatically receive the reference BATCH. ABA references are converted to uppercase and limited to 18 characters. A combined payment cannot list every invoice number in this field.
Why Batchly consolidates payments
- Fewer payment lines: several bill amounts can be paid together to the same bank account.
- Easier payment matching: suppliers can use the remittance to match a combined payment to individual bills.
- Individual bill records: grouping bank payments does not merge the underlying bills in Xero.
What suppliers see
The bank payment carries the combined cash amount and a single payment reference. If you choose to send remittances from Batchly, the advice provides the bill-level detail, including the bills included and their payment amounts.
Where credits are used, the remittance distinguishes credit settlement from cash paid. This helps explain why the bank payment is lower than the total value of the bills.
Remittances are a separate step. Generating a banking file does not automatically send them or confirm that your bank has processed the payment.
Important notes
- Consolidation applies within the generated file; separate runs are not combined into a single payment.
- Check the destination bank details, cash total and reference before uploading the file to your bank.
- A combined payment does not mean every included bill is fully settled. Partial settlements can leave a balance outstanding.
- After your bank processes the payment, complete Mark as Paid to record the cash payments against the relevant bills in Xero.
Need help? Contact Batchly support.