Our Military/Government Allotment System uses government payroll deductions as a source for pre-arranged bill payments.  For companies who market to military and other government consumers, there is simply no better method of payment where installment payments are used.  Allotment payments give companies the security of knowing that when their customers are paid, they will be paid also.  Government personnel enjoy the convenience of having the payment made automatically. 

Our system is widely used by companies that market to military and other government employees.  It is used for: 

• Consumer Finance

• Retail Merchandise

• Direct Sales

• Insurance

 Key Benefits 

• Cash Concentration and Distribution

• Dramatically Improved Collections

• No Billing

• Early Notification of Non-Payment

• Immediate Payment

• Automatic Posting of Receivables

How it Works

Military or other government consumers agree to installment payments using allotments by filling out a multi-part authorization form.  The consumer initiates the payroll deduction at his employer pay office with a copy of the form, which instructs the deduction to be sent to an insured, interest-bearing savings account in the name of the consumer at First Citizens Bank.  On government paydays, the deduction is electronically deposited into the consumer’s account.  Upon deposit, FirstNet’s allotment system deducts the amount of the payment from the consumer’s account.  Funds are consolidated for each company and disbursed on military payday.  Military paydays occur on the first of each month (or the preceding business day if payday falls on a holiday or weekend). 

The FirstNet Advantage

FirstNet offers the industry’s premier allotment processing solution.  Because FirstNet operates the industry’s only fully-independent allotment processing system, we’re able to provide solutions that our competitors cannot. 

Review the distinct advantages below:

• Independent Hardware and Software Platform – Our systems are completely independent from our other bank processing systems, which gives us total control over our operating and processing environment.  Our processing never has priority conflicts with the other end of month processing or other bank requirements.

Our system is the only allotment processing system hosted on a network computer platform offering the most flexibility and highest performance of any system available.  Our open systems approach is the key to our ability to serve our customers with unparalleled support.

• Early Processing – Our allotment processing is completed the day before military payday, allowing us to facilitate funding early on payday – never later.  Our remittance data is also available on the evening prior to payday as well, allowing for timely posting to corporate receivable accounts.

 

• “Look Ahead” Reporting – FirstNet provides the industry’s only advanced reporting capability.  Because we receive notification of deposit several days in advance of the payments, we build a “look ahead” allotment run when we receive the data and post the data on the Internet.  This allows your collections staff to identify “no pays,” “partial payments,” and other delinquency items two and, sometimes even three, days in advance.  Some of our customers have reduced their collection problems by nearly 80 percent by aggressively managing their “look ahead” reporting data.

 

• Retiree Allotments – Retirees can start and stop allotments using our system.  Even in cases where military payday is on a weekend or holiday, retiree payments can always be disbursed on the preceding business day along with active duty payments.

 

• Internet Reporting – FirstNet is the only allotment processing system offering same-day reporting via the Internet.