A Notice of Assignment (NOA) is the document that formalizes a factoring relationship to the parties who owe money. It instructs brokers and shippers that the carrier’s invoices have been assigned to a factoring company, so payment should go to that company rather than to the carrier.
The NOA protects the factor’s right to collect and prevents payments from being misdirected. For a carrier that factors, making sure customers have the NOA on file is part of keeping the cash-flow process clean and getting invoices paid correctly.