Streamline your end‑to‑end payment and bank reconciliation processes with the HSBC Payment Connector for Microsoft Dynamics 365 Finance & Operations (D365 F&O).

This connector enables secure, automated, and bi‑directional integration between D365 and HSBC using SFTP, eliminating manual file handling, reducing reconciliation delays, and improving financial accuracy.

Key Capabilities

• Automated Vendor Payments (Outbound to HSBC)

Simplify your AP disbursement process with a fully automated payment workflow:

• Generate & Transmit Vendor Payment Files
• Create vendor payment journals directly in D365.
• Automatically generate the HSBC‑compliant payment file format.
• Securely transmit the file to HSBC via their SFTP channel.
• Receive Processing Acknowledgement (ACK #1)
• HSBC returns an initial acknowledgement confirming receipt and validation.
• The connector automatically reads this acknowledgement from SFTP.
• Updates payment journal records in D365 to reflect submission status.
• Receive Final Payment Status (ACK #2)
• After HSBC processes payments, a final acknowledgement is posted on SFTP.
• The connector retrieves the file and updates each payment line with the final processing status (success, rejection, or exception).
• Customer Payment Automation via MT942 (Inbound from HSBC)

Enhance AR accuracy and speed with automated daily statement posting.

• Ingest MT942 Customer Payment Files
• HSBC posts MT942 intraday statement files on SFTP.
• The connector reads these files on schedule
• Auto-Apply Customer Payments in D365
• MT942 transactions are parsed and mapped to customer accounts.
• Customer payments are created and applied automatically in D365.
• Supports multiple matching rules (invoice, customer reference, amount matching, etc.).

Benefits

• End‑to‑end financial automation for both AP and AR processes.
• Eliminates manual file uploads/downloads, reducing operational risk.
• Real-time visibility into payment statuses within D365.
• Accelerates cash application through MT942-based auto-reconciliation.
• Strengthens financial controls with standardized, auditable integration.
• Secure data exchange leveraging HSBC’s SFTP protocols.
• Reduced reconciliation time and improved working capital insights.

Technical Features

• Configurable SFTP connection profiles for HSBC.
• Scheduled batch jobs for inbound/outbound automation.
• Error log & exception handling in D365.
• Mapping framework for payment files and MT942 statements.

Ideal For

Organizations using Corporate Banking and D365 F&O for ERP who want to automate:

• Vendor payment processing
• Customer payment processing
• Bank acknowledgement tracking