Our free Financial institution reconciliation template offers a easy approach to reconcile your cashbook together with your financial institution assertion. Hit the obtain button and observe our information to be taught extra.
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Instance of our Excel bank card reconciliation template:
How you can do bank card reconciliation?
Bank card reconciliation is the method of matching bank card information together with your firm ledger. This can be a routine course of carried out by finance groups to make sure that firm monetary information are correct and to detect any errors or fraud.
Let’s get began with the method:
- Collect paperwork
You have to the corporate’s common ledger and the newest bank card assertion. Obtain them in CSV format and paste them into particular person Excel sheets. Additionally, discover all of the invoices/receipts associated to bank card funds. In case of any discrepancy, this may show you how to verify the transaction particulars, the authorization of the transaction, and expense categorization.
- Match paperwork
We have to discover out the matching transactions within the bank card assertion and the overall ledger. You are able to do a precise match in case your GL information the transaction ID.
If the transaction ID isn’t recorded, you’ll be able to match the transaction primarily based on different info like date, quantity, or description.
Instance: We now have a $50 Uber cost recorded within the firm ledger; the transaction will be matched with the bank card assertion utilizing the transaction ID.
- Create a bank card reconciliation assertion.
Create a reconciliation assertion that marks all of the transactions that match and tracks all the unequalled transactions. You’ll be able to replace the overall ledger to mirror any legitimate transactions that may have been missed. In case of any unauthorized transactions or banking errors, please contact your financial institution.
Why bank card reconciliation?
Credit score Playing cards supply prompt world funds and a credit score line, making them common within the company world. Company bank cards are a most well-liked methodology for workers to make work-related bills.
Nonetheless, bank cards are liable to theft and fraud. It is the most typical banking-related fraud, with 100s of 1000’s of instances yearly and billions in worth stolen. It is important to reconcile bank card statements to detect any errors, fraud, or unauthorized transactions.
Automate Credit score Card Reconciliation
Utilizing instruments like Excel requires numerous guide intervention. If you wish to scale your course of, it’s essential to look into software program that may automate your course of end-to-end. This might require aggregating knowledge from a number of monetary sources, extracting related knowledge from paperwork, matching knowledge throughout totally different sources, and fraud checks.
Reconciliation software program can automate 3 key objects for you:
- Information assortment – Automation software program like Nanonets can seamlessly combine together with your ERP or E-mail to assemble paperwork like bank card statements, invoices, receipts, and the corporate’s common ledger. The software program will solely pull related info from every doc via OCR expertise.
- Information matching – With no code automation, you’ll be able to simply arrange guidelines to match the 2 paperwork. You’ll be able to arrange new guidelines with time & don’t should wrestle with formulation.
- Figuring out error & fraud-check – Setup flags to determine any form of irregular transactions, duplicates, or unauthorized transactions.
Discover the proper reconciliation software program primarily based on your small business wants and whether or not the instrument has the options you want.