Are you looking for a professional excel format Bank reconciliation statement? but first, you should know how it can work for your business record. A bank statement is based on the confusion pattern of transactions and their consolidated justification from the bank which could be due to several reasons.
But the statement itself is just the true record of transactions according to the instructions of the account owner. In case any mistake occurs due to the data configuring problem from the bank representative, it is revised and fixed and presented to the bank account owner to take the record and pursue out the confusion.
Although banks keep this money and they issue and summon money right on the instructions of an account holder, every document of the bank is proof of transaction and is fairly challenge-able to any subscribed service.
Banks also vitalize their fair dealing by sending the complete record of financial transactions and the answer to duly created confusions among the client and bank account record throughout the year, this documented proof states all the reasons and categorical issuance of money by the time and date.
Factors in Bank Reconciliation Statement
Usually, there are some typical reasons which raise the requirement of bank reconciliation statement to rectify the records at both ends to endure any challenge which may result in big financial slush hour. A small entry mistake may result in a big hole in a financial record by the end of the fiscal year which may be drowning for both the bank and the business.
So avoiding these major confusions, it is extremely recommended to slow down the pace and first reimage the whole transaction record and numb the mistakes at the right time.
Trapped on with the requirement of modern business culture, there are so many complications in maintaining the records and attaining the right concluding figures by the end of business years.
A similar dilemma goes for financial record management where several different entries make the process to much complex to handle manually by notes. This necessity imposes the requirement solid and affirmed procedure for recording and keeping the entries in a safe hook where the final figures are entirely patch-able.
Taking the reasons further on to financial management, these days, most of the businesses prefer their financial transactions through banks, paying off cheques, and other means of transactions, these businesses add the worth of transactions and its mode of nature to their complimentary cash book holdings.
But these entries sometimes cause troubles and complications at the end of the financial year when the total business transactions are compared with the record of a bank where the total money was kept.
Usually, there are some common reasons for these financial mismatches and they all can be rectified using the check system of bank reconciliation statements. The reasons for the mismatch are stated below;
- Not sufficient funds
- Hidden service charges
- Cheque bounce due to signature issues
- Applied taxes and other charges which the business may lag to count