Manually reconciling bank accounts with accounting ledgers is no one’s favorite task. But bank reconciliations are critical for your business.
An up-to-date, reconciled picture of available funds is crucial for avoiding overdrafts and making informed decisions about payments, purchases and investments. It also ensures you are using accurate information as you generate financial statements and produce documents for tax preparation. In addition, reconciliation helps you identify any suspicious activity promptly so you can mitigate damage caused by fraud.
Unfortunately, manual reconciliations are time-consuming. If your company provides business management or accounting services to multiple clients, you might need to reconcile tens or hundreds of accounts. Manual reconciliations leave your staff less time for client interactions and other high-value functions.
Because you have to check every transaction, it is unlikely that you can conduct manual reconciliations more than once or twice per month. But these infrequent reconciliations result in an outdated view of available cash balances for you and your clients.
The good news? There’s a better way to reconcile your accounts.
Eliminate your manual process with AgilLinkSM by Datafaction
Using an integrated accounting solution—one that tightly links banking and accounting systems—allows you to automate the bank reconciliation process. As a result, you gain a more accurate, up-to-date view of cash plus you get early detection of fraud on the accounts.
City National Bank offers a high level of banking and accounting integration with AgilLink by Datafaction. An easy-to-use, cloud-based solution, AgilLink helps you eliminate manual reconciliation and streamline other essential banking and accounting tasks.
With AgilLink, you can automatically reconcile all of the accounts you are managing as frequently as you want to—monthly, weekly or even daily. Using City National Bank’s EASI Link® service, AgilLink downloads a single bank file that includes every individual transaction from every account you manage. AgilLink then automatically compares the transaction amounts in each bank account with those recorded in the appropriate general ledger, marking checks as cleared and flagging discrepancies in transaction amounts.
AgilLink also enters any new transactions into your ledger that first appear in your banking system. The software can also be trained to automatically categorize incoming transactions as they are entered. For example, your client might frequently use a debit card at a particular restaurant. You can train the system to spot the name of the restaurant in the transaction list and add a “food” or “restaurant” tag each time it appears, eliminating a manual process. As soon as you run the reconciliation process, your accounting ledger is updated with the latest, most accurate data.
In addition to automated bank reconciliation, AgilLink offers unattended positive pay for fraud protection. As checks are written in your firm, they are automatically uploaded to the bank’s positive pay system. If a check is fraudulently modified after it was created in the business manager’s office, the positive pay system will flag the check as an exception when the check is presented to the bank. The system will notify the business manager before the check clears the account, thus enabling fraud to be detected immediately.
Refocus staff on higher-value functions
Adopting an integrated banking and accounting solution can deliver numerous benefits to your business and to your clients. By eliminating the tedious, time-consuming work of manual reconciliation, you can refocus staff members on a variety of other, higher-value tasks, such as providing responsive customer service. Automating reconciliation also better prepares you to scale your business—adding clients and managing more accounts—without having to increase personnel expenditures.
By reconciling accounts daily, you and your clients have up-to-date information about funds available, so together you can make better financial decisions. And by conducting frequent inspections of transactions, you can spot possible fraud sooner and take action fast.
Ready to make manual reconciliation a thing of the past?