Electronic Billing using Electronic Data Interchange (EDI)

Norfolk Southern allows customers to receive and pay freight bills electronically. This eliminates mail delays and shortens the payment cycle. Not only does this provide additional time for customers to approve their bills, but it also eliminates the need to process paper freight bills and reduces errors created when data is re-keyed or when the remittance advice is created. Below is a summary of EDI (Electronic Data Interchange) and EFT (Electronic Funds Transfer) options.

What does EDI mean?

Electronic Data Interchange (EDI) is the electronic transfer of information between business entities using public standards. EDI provides standards which can be economical for all sizes and types of companies. These standards are published by the Accredited Standards Committee (ASC) X12 of the American National Standards Institute (ANSI).

Why should I consider EDI?

EDI billing reduces time-consuming tasks such as manual approval of paper freight bills and the re-keying of inaccurate data which could lead to payment delays.

Are there any EDI industry resources?

There are various companies who provide EDI services and can help you get started. These companies offer various services such as converting communication protocols (the speed at which transmissions are sent), translating sender files into ANSI formats, and translating ANSI formats into receiver requested formats, etc. There are several software vendors which market packages that simplify the data input, transmission, and receipt process. These companies not only install standard packages but will tailor them to meet your needs.

How do you transmit and receive data?

There are numerous ways for a company to transmit and receive EDI information. At NS, we use a central mailbox. Transactions to and from NS flow through this mailbox, and bills are picked up by the customer from this central location. Other than the customer's initial setup cost, NS will pay all transmission fees to ensure electronic freight bills are delivered to this mailbox.

If you prefer, NS will create a mailbox for you at our GENTRAN site; then, you will be able to "pickup your mail" directly from NS. The only requirement is that you use a designated secure line (DSL) to communicate with our site. When considering this option, remember that NS will direct only raw EDI data to your mailbox. If your needs require any other format type or translations, you might consider using an EDI Value Added Network (VAN) to format your data appropriately.

Who is my EDI 410 contact at NS?

Should you have any other questions related to the setup/testing for receipt of electronic billing, please contact Caye Hale at (404) 527-2567 or at caye.hale@nscorp.com.

Electronic Funds Transfer Options

NS has the ability to accept and process electronic payments via Automated Clearing House (ACH) or wire transfer. NS recommends ACH rather than wire payments as they are the most cost efficient method of payment for customers to initiate. Also, by using the CTX format with an 820 addenda record, your ACH payments will be electronically transmitted to NS and automatically applied to your account, thereby reducing the payment cycle and eliminating the risk of cash application errors. Those customers who are unable to provide electronic remittance records should contact their bank for assistance as most banks are able to create CTX payments w/820 addenda records.

If you have any questions regarding EFT options, please contact Herman Harris at (404) 529-2126 or at Herman.Harris@nscorp.com.