Bank reconciliation statement is a statement reconciling the
balance of cash at bank as shown in an enterprise's own records and that
indicated in the bank statement on a particular date. In other words, it is
a statement that reconciles the balances of the cash book and the passbook
during a particular period.
Preparing a bank reconciliation statement can sometimes prove to be a
difficult task. Discrepancy may arise due to difference in time of recording
entries in cashbook and pass book.
Outsourcing maintenance of bank reconciliation statement is a practical
option for companies to save time and effort.
Benefits of Outsourcing Bank Reconciliation Statement
- Helps in better and more efficient maintenance of books of accounts
- Discrepancy between cash and bank pass book is detected easily.
- Personnel in accounts department can concentrate on more important
- Corporates with high volume accounts are the biggest beneficiaries.
- Less paper work reduces confusion