Determining the paying party or the recipient of bank transactions is an important first step in the process.
It can significantly narrow down the number of outstanding invoices that need to be evaluated.
Furthermore, a bank transaction typically holds information that can be used to determine with confidence who paid or was paid.
The following steps / decisions are made to find an account:
- Search for IBAN or Bank Account No. in the customer or vendor bank accounts using the Counterpart reference of the transaction.
- Find Customers / Vendors / Employee on their name using the Counterpart name of the transaction:
- When there is at least one match on IBAN or Bank Account No., then only these accounts are checked on the Counterpart name.
- When there is no match on IBAN or Bank Account, then all customers, vendors and employees are evaluated against the Counterpart name.
- When there is exactly one account found, then that account is returned.
- When there are multiple or no matches, then it’s checked if the remittance information holds the account no. of one of the candidates to determine which specific account is applicable.
- It is highly recommended to ensure that differentiate all the account numbers for customers, vendors, and employees.