Payment redirect

Instructions telling the customer where to send payment after invoices are assigned.

Why it matters

Incorrect or unauthorized payment redirects can create disputes, misapplied payments, and default risk. The notice of assignment should match actual remittance instructions.

Related terms

Related article: Notice of assignment

Related reading

Sources

  • Uniform Commercial Code Article 9 - Uniform Law Commission. Accessed 2026-05-19. Reference for secured transactions concepts including receivables and filings.
  • International Factoring Association - International Factoring Association. Accessed 2026-05-19. Industry association source for factoring terminology and industry context.
  • Secured Finance Network - Secured Finance Network. Accessed 2026-05-19. Industry education source for secured finance and asset-based lending context.
Financial disclaimer. This page is educational only and is not financial, legal, tax, accounting, or credit advice. Factoring terms vary by provider and contract. Read the full disclaimer.