Reconciling Bank Statements
Once bank account statements are imported, the bank's file format is converted to list all the information needed to reconcile your bank account. Continia Banking ensures accurate matching by aligning the statement lines with your bank account's ledger entries. Additionally, it prepares accounts receivable for matching and generates proposals for potential matches.
Before you start using Continia Banking for Bank Account Reconciliation, we recommend closing the open bank account ledger entries. Select a bank account and suggest a specific date to close entries, to ensure that Continia Banking focuses on relevant bank transactions from that point onward. To close all open bank entries, refer to the To fill in bank reconciliation lines with the Suggest lines action article on Microsoft Learn.
To execute a bank account reconciliation:
Use the
icon and search for Bank Account Reconciliations, then select the related link.Select New.
Navigate to the Bank Account No. field and assign a bank account.
On the bank account reconciliation page, navigate to the action bar and select Bank > Import Bank Statement.
To import the statement and initiate the reconciliation process, a dialog box will appear, either prompting the user to select a file or providing information related to communication with the bank. The content of the dialog depends on whether the bank account uses direct communication or not.
On the action bar, select Matching > Match Automatically.
On the left side is an overview of statement lines received from the bank. The right side shows open Bank Account Ledger Entries, which are made by company employees in Business Central. The next step is to match the lines on the left side with the lines on the right side. The lines will be matched based on the setup of Continia Banking Import. You can use Status on the account statement lines to get started:
Status Description Action Unsolved
(Red and in bold)No direct match found. When the status of a transaction is "unsolved", it can be due to various reasons, such as the automatic matching not being done yet or the automatic matching not finding any payment application proposals. It could also be because the lines have been unapplied by the user. Resolving a line with status Unsolved, requires some manual work: - Select the status to open the Payment Application Review page
- Select Show Bank Statement Details to find any clues for finding the ledger entry that belongs to the line. Try to identify the account and manually apply the entry.
Awaiting Cash Receipt Jnl/General Jnl/Payment Jnl
(Yellow)When a payment application proposal is generated and applied, it triggers the creation of a journal line in the Cash Receipt Journal. This serves a dual purpose: first, to post the payment and close the associated ledger entry, and second, to register the payment in the relevant bank account. Consequently, this process generates a Bank Account Ledger Entry that is automatically reconciled upon journal posting.
In situations where no direct match is found, bank statement lines are presented with reconciliation suggestions based on outstanding customer, vendor, or employee payments. To streamline the reconciliation of Bank Account Ledger Entries, a dedicated Cash Receipt Journal is linked to Bank Account Reconciliation. This setup ensures that any payment application proposal not directly associated with a Bank Account Ledger Entry generates a corresponding journal line in the Cash Receipt Journal. This specialized journal configuration is specifically designed for Bank Account Reconciliation purposes.
Notably, this reconciliation method supports various journal types, including General, Cash Receipt, and Payment journals. To implement this setup, users can configure it either on the bank account card or on the general Bank Import Setup page.Resolving a line with the status Awaiting journal comes with proposals found by the system. To resolve a line with this status: - Select the status to open the Payment Application Review page. Alternatively, select the number in the Payment Application Proposal column.
- You can now see the proposals for matching this line. For your convenience, you can now directly open the related journal and reconcile and post the line there.
Related Partly Matched
(Blue)This status is for transactions that are partially matched but require further investigation or additional information to complete the reconciliation process. This status serves as an alert to inform the user that the matching process has identified an account (customer, vendor, or employee), but corresponding ledger entries could not be found. In such cases, the system prompts the user to investigate further or manually apply an entry based on the identified account. This requires user intervention to ensure accurate reconciliation, as the system couldn't automatically find the corresponding financial records. For lines with the status Related Partly Matched, the system couldn't find a matching ledger entry but did find the origin of the payment. To resolve a line with this status: - Select the status to open the Payment Application Review page
- You can now see the account belonging to this payment and must manually apply the entry.
Review
(Yellow)This status indicates that one or more payment application proposals have been generated, but automatic application was impossible due to discrepancies in amounts. The user is then required to review these proposals and make manual decisions on how to proceed, ensuring accurate payment allocation.
To make the matching process more efficient, you can specify a tolerance amount for automatic matching of Payment Application Proposals. See the Importing bank statements article for more information.For lines with the status Review, the system found a matching ledger entry, but the amount is not the same. To resolve a line with this status - Select the status to open the Payment Application Review page. Alternatively, select the number in the Payment Application Proposal column.
- You can now see the ledger entry that probably belongs to this payment. For your convenience, you can now directly open the related journal and reconcile and post the line there.
Completed
(Green and in bold)The processing of the lines has been completed, and a successful match has been identified, indicating that the line is ready for posting. However, the way this status operates varies based on the statement type.
In Bank Account Reconciliation, a line achieves "completed" status when one or more Bank Account Ledger Entries have been successfully reconciled. If a payment application proposal is discovered and applied, the corresponding journal line must be posted before automatic reconciliation occurs, transitioning the status to "completed."
In Payment Reconciliation, the status switches to "completed" immediately after the payment application is successfully applied.No action is required, the status Completed signifies the conclusion of the reconciliation process for the specific line, confirming that the records are now balanced and accurate. Tip
Use the reconciliation information at the bottom of the page to see if the entire statement line amount has been applied or if there is a difference that still needs to be applied.
See also
For general information on reconciliation with Business Central, refer to Microsoft Learn: