What is a Bank Reconciliation in Business Central?

The process of matching bank account ledger entries in Business Central against the bank statement, done on the Bank Acc. Reconciliation page.

Bank reconciliation is the process of matching the bank account ledger entries in Business Central against the transactions on your bank statement, so the bank account in BC provably reflects reality. In BC this happens on the Bank Acc. Reconciliation page, one reconciliation per bank account and statement.

You import the statement using a bank statement import format (for example CAMT.053 or a CSV layout defined for your bank), or enter the lines manually. The Match Automatically action pairs statement lines with open bank account ledger entries by amount, date, and text; the rest you match manually. Statement lines with no counterpart in BC, such as bank charges or interest, can be transferred to a general journal, posted, and then matched.

The reconciliation can only be posted when the statement ending balance matches and the difference shows zero. Posting closes the matched bank account ledger entries and stores a Bank Account Statement; recent versions also let you undo a posted reconciliation if a mistake slips through. BC also offers Reconcile with Copilot, which suggests matches and can propose G/L accounts for unmatched lines; the suggestions still require your review before posting.

Do not confuse this page with the Payment Reconciliation Journal: that journal also imports bank statements, but it applies and posts customer and vendor payments, and can optionally reconcile the bank account in the same run.

Related terms

• Payment Journal, The Business Central journal for paying vendors, with automatic payment suggestions, application to open invoices, and payment file export.
• Cash Receipt Journal, The Business Central journal for registering incoming customer payments and applying them to open sales invoices.
• General Ledger, The core accounting record in Business Central where all financial transactions are ultimately posted and stored.
• Posting Date, The date that decides which accounting period a Business Central transaction lands in, distinct from the document date and the VAT date.

How Zentriq helps

Zentriq's AI tools automate many of the manual processes around bank reconciliation in Business Central. Learn about the Zentriq Agent or try Zentriq PunchOut to see how AI simplifies procurement in BC.