Background:


  • Users of the Auto-Pay BPAY & EFT supplier payments product are required to transfer cleared funds to a Parakeet | Client Trust account within T + 2 business days. 


  • Parakeet will provide each Xero legal entity with a dedicated Parakeet | Client Trust account. 


  • Funds disbursement to suppliers will remain at T + 3 Business days (unless agreed otherwise). 


Tips & Options:


  • To avoid delays with supplier payments and improve efficiency, consider using any or a combination of the below options:
    • Transfer daily batch amount immediately or next business day
      • Consider transferring the batch amount same day or the following day (i.e. T + 1 business day) to your Parakeet | Client Trust account (instead of waiting for T + 2 business days); and/or
    • Have a 'Float' amount available in the Trust account:
      • Consider depositing a Float amount in the Parakeet | Trust account such as $2,000, $5,000 or $10,000 (whatever amount suits)  to cater for small payment batches which will reduce amount of transfers you have to make. 
      • This will require a periodic top up to the Float amount 
      • Any excess float amount / funds can be withdrawn by providing Parakeet with 1 business day notice
    • Set up an automated regular deposit / float to the Trust account:
      • Set up a recurring transfer from your banking platform to credit your trust account. 
      • e.g. Every week, deposit $2,000 to the Trust account
      • Any excess funds can be withdrawn by providing Parakeet with 1 business day notice
    • Consider if you have daily limit / caps on bank transfers:
      • If you have a daily transfer limit and are unable to increase it,  we also offer you the option to transfer via BPAY.
      • The BPAY option can currently receive payment in $100,000 increments multiple times during the day (i.e. you can pay a $225K batch in 3 x increments of $100,000, $100,000 and $25,000 on the same day)
      • BPAY payments via internet banking typically does not have a limit constraint, but please check with your internet banking provider to verify.
      • If you like to transfer via BPAY, please advise Parakeet and we will provide you with a unique CRN for your business. 


How to determine the amount you need to transfer:


At 4pm, 4:45pm and 10pm AEDT:


You will receive an email titled "Parakeet Bill Payment" during these times:

  • Between 4pm to 5pm AEDT - Maximum of 2 email coinciding with the 4pm and 4:45pm batch runs.
  • Between 10pm to 11pm - Maximum of 1 email coinciding with the 10pm batch run


Referring to the example below, you will need to transfer the batch amount of $79,103.46 to the Trust account. 


In the bank transfer, please place the description as per below, with the date reflecting the date of the email. 

  • <your name> Batch <DDMMUUYY>
  • Description = ABC Co Batch 09052024 
  • Amount = $79,103.46
  • Batch date = Date of the batch email. 


If you receive more than 1 bill payment email per day:

  • You may receive up to 3 x emails in a single day depending on how your bills are scheduled.
  • In that case, you can sum up the 3 x totals for the day and process 1 single batch payment to the Trust account


If your bill payments are spread across 2 consecutive days (e.g Monday & Tuesday):

  • You can choose to transfer the total for both days in 1 batch or in 2 individual batches and
  • You can transfer either:
    • On the next business day; OR
    • You can 'group' them and transfer it to the Trust account at T+2 business days from the earliest batch (i.e in this example, by Wednesday)



No change to reconciliation:


  • There are no changes to reconciliation process
  • The same process of doing a 'transfer' to the AP FINAL CLEARING account applies to any deposit / transfers made to your Parakeet | Client Trust account (i.e. float deposit or automated regular deposit).
  • Refer to article here.



Supplier disbursement times remain the same at T + 3 business days 

(unless agreed otherwise)


  • Batch emails before 5pm cut off -  Suppliers receive funds T + 3 business days 
  • Batch emails  after 5pm cut off (i.e. 10pm) -  Suppliers receive funds T + 4 business days as it's after the business day cut-off.    
  • Please note that funds must be cleared into the Trust account by T + 2 business days to ensure no delay to supplier disbursements.  
  • Bill Payment recall - You can continue to advise Parakeet if you like any scheduled bills to be stopped within this timeframe.