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Credit management software: what it is, how it works, and why it matters

Sanne de Vries June 9, 2022 Updated on: September 24, 2025

Credit management software is a digital solution that helps businesses manage and optimize their accounts receivable process. With this software, you gain a clear overview of outstanding invoices, automate payment follow-ups, and reduce the risk of bad debt. The goal is simple: get paid faster, improve communication with customers, and maintain full control over your cash flow.

In this article, you’ll learn exactly what credit management software is, how it works, the key features it offers, and how it can immediately improve your liquidity.

Table of contents:

What is credit management software?

Credit management software is a tool that supports companies in managing and optimizing their credit management system. It’s about far more than just sending invoices. The software provides real-time insights into outstanding payments, automatically follows up on invoices, and ensures you get paid on time.

The goal? Maintain a strong liquidity position, spend less time on manual follow-up, and minimize credit risk. For businesses looking for complete credit management solutions, a robust software platform can transform the way you manage receivables.

How does credit management software work?

Payt’s credit management platform automates the entire process from invoice to payment. Key features include:

Automated follow-up – From the first reminder to the final notice, all based on your preferences.

Invoice portal communication – Direct, secure dialogue with customers about payments.

Credit risk assessment – Integration with GraydonCreditSafe provides instant insight into customer creditworthiness.

Smart payment plan setup – Proposals can be made by you or directly by the customer.

You can discover the full list of capabilities on our features page.

Benefits of Payt’s credit management software

Businesses switching to our credit management software solutions quickly experience measurable results:

30–50% faster payments through structured follow-up
Up to 80% time savings on receivables management
Improved customer relationships through clear and consistent communication
Stronger cash flow and more room for growth

Interested in what Payt can do for your business? Book a demo with one of our experts today and explore all the possibilities.

Frequently asked questions about credit management software

Is credit management software suitable for small businesses?

Absolutely. Even small organizations benefit from using a credit management tool. You save time on invoice follow-up, keep a better overview, and reduce the risk of late payments—freeing you to focus on growing your business while Payt helps you get paid faster.

By Sanne de Vries

Sanne is a business consultant at Payt. She helps companies optimise their financial flows with attention to detail and a deep understanding of business processes.