Article
Interview questions for Accounts Receivable Specialist (including cash application)
Start a Search Financial Headhunters Salary Guide
Financial Headhunters: Defining AR responsibilities to match your specific system environment and invoice volume while avoiding overpayment for general bookkeeping experience.
This is what we do all day: recruit accounting, finance, banking and insurance professionals.
- Controller
- CFO
- VP Finance
- FP&A Director
- Accounting Manager
- Director of Accounting
- Assistant Controller
- Tax Director
- Treasury Manager
- Internal Audit Director
- Senior Accountant
- Financial Analyst
- Head of Financial Reporting
- Commercial Lender
- Chief Credit Officer
- Business Systems Finance Lead
01
Hiring strategy for AR roles
Verify specific system proficiency to reduce initial training. Candidates familiar with your specific ERP avoid initial learning curves. Assign these roles based on specific function. Cash application requires detail orientation. Billing requires precision with contracts. Collections requires verbal persistence.
Consider the volume of transactions. High volume requires an efficient user of ERP tools. Complex billing requires someone who can read contracts. Do not overpay for general experience when you need system specific skills.
Scope the role by asking candidates to describe the exact number of daily invoices they processed in their last three positions. Do not settle for vague answers about being busy. Ask them to name the specific ERP modules they used for month-end close versus daily cash posting. Require them to explain their logic for selecting which invoice to apply a partial payment against when the remittance advice is missing data. Use evidence questions like asking them to describe a time they found a discrepancy between the bank statement and the subledger. Force them to detail the steps taken to resolve that imbalance without help. If they cannot explain the trial balance impact of their entries, they will not maintain your ledger accuracy.
- 01Align technical skills with current ERP modules.
- 02Evaluate the volume of daily invoices handled.
- 03Prioritize candidates who have cleared large unapplied cash balances.
- 04Define if the role focuses on data entry or customer interaction.
02
Interviewing for AR success
Ask about their specific workflow for clearing unapplied cash. Listen for how they use the ERP AR module to link payments. Ask how they reconcile discrepancies between bank deposits and system records. Look for evidence of identifying root causes for missing remittance advice.
Ask how they handle high volume invoice disputes. Look for steps taken to verify the contract terms. Follow up by asking how they escalate non responsive customers. Ask for a time they corrected a billing error before sending it to a client.
- 01Walk me through your process for researching an unapplied cash payment.
- 02How do you handle a customer who refuses to pay based on a disputed change order?
- 03What specific reports do you run to manage your daily aging review?
- 04Explain how you verify accuracy in invoice generation before final release.
03
Common hiring mistakes
Ignoring the difference between cash application and collections. Cash app is back office data entry. Collections is front office communication. Hiring a pure data entry clerk for a collections role leads to poor results. They will not reach out to customers to resolve payment delays.
Overlooking system capability gaps. A candidate who knows one ERP may struggle with another. Verify they have used the specific AR module in the version you currently use. Do not assume transferrable knowledge if the interface differs significantly.
- 01Hiring a data clerk for a client facing collections role.
- 02Failing to verify the specific ERP module version used.
- 03Neglecting to test the ability to perform basic bank reconciliations.
- 04Underestimating the complexity of manual AIA billing processes.
04
Credential verification process
AR roles do not require formal licenses. Most certifications involve voluntary training. Check for certifications from organizations like the Institute of Finance and Management. These prove exposure to standard concepts. They do not replace hands on experience in your specific software.
Check the currency of any professional certification through the official registry. Remember that a certification verifies knowledge of basic accounting terminology. It does not verify that the candidate can operate your ERP interface or manage your specific client base.
- 01Confirm the certification issuer is a recognized industry body.
- 02Validate current status through official member directories if available.
- 03Note that certifications lack specific ERP or software training.
- 04Prioritize past performance over voluntary certification.
05
When to hire and move
Move to hire when aging reports show increasing days sales outstanding. Move when customer disputes remain unresolved for more than thirty days. Move when the internal accounting team cannot keep up with bank reconciliations. You need more capacity when billing cycle times expand.
Consider an interim hire if the backlog is temporary. Seasonal increases in volume justify short term additions. Permanent hires work best when your customer base grows steadily. Tradeoffs include training costs against the benefit of a clean ledger.
- 01Increased transaction volume exceeds current staff capacity.
- 02Rising number of open disputes requires dedicated focus.
- 03High turnover in bank reconciliation processing.
- 04Expansion of product lines requiring new billing workflows.
06
Which related hiring decisions are worth comparing?
Questions people ask
Can I hire a candidate from a different industry?
Yes, provided the ERP and billing complexity match your needs. Focus on the volume and software proficiency rather than industry.
Does a CPA license help an AR Specialist?
Generally, no. A CPA is overqualified and likely looking for general accounting or tax roles rather than specialized AR functions.
How do I handle a candidate who lacks my specific ERP experience?
Test their ability to learn software concepts. If they have used similar complex ERPs, they likely adapt well. Do not sacrifice specific skills for general potential if you need immediate output.
What is the best way to verify their cash application accuracy?
Ask for examples of how they research partial payments or short pays. The answer must focus on data reconciliation and accurate ledger mapping.