The idea is to print a structured creditor reference on the invoices (structured because the reference contains a check digit and is in a certain format) OR to provide the reference in an electronic invoice. When the debtor (‘s system) pays the invoice (by bank transfer) he/she (/it) should provide the credit reference number. The banking system will then provide electronic messages (like de Belgian CODA files) to the creditor containing for each payment the reference number. Most accounting systems are able to import those messages and apply payments directly to invoices based on that reference. Very easy and a great gain in time.

In Belgium, our banks (and the CODA files) support both the international SEPA reference (example RF18 5390 0754 7034 ) and also the Belgian variant, named VCS or OGM. The Belgian variant exists already many many years (I remember the file exchange by floppy disk …). The Belgian variant is a 12 digit reference number = 10 digits + 2 digits for the check digit (modulo 97 over the 10 first digits).

It surprises me that there is no support for this in BC, which is in fact based on NAV which is existing already many years as well. In fact, this is not a typical Belgian dispositive. It is used all around the SEPA zone :
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