Setting Up and Managing Bank Accounts

Setting Up and Managing Bank Accounts

Overview

Bank accounts in iVendNext help track financial transactions for your business, customers, and suppliers. Proper setup ensures accuracy and smooth reconciliation. This article explains how to create and manage accounts, plus key features and tips.



1. Prerequisites for Creating Bank Accounts

Before creating a bank account, ensure that you have the following set up in iVendNext:


  • Bank: You need to create a bank record in iVendNext. Refer to the Bank.docx document for instructions on how to create a bank.

  • Chart of Accounts: Ensure that the General Ledger (GL) account for the bank is set up in the Chart of Accounts.


2. How to Create a Bank Account

2.1 Steps to Create a Bank Account

  1. Navigate to Home > Accounting > Bank Statement > Bank Account.

  2. Click on New to create a new bank account.

  3. Enter the Account Name.

  4. Link the account to the appropriate General Ledger account in the Chart of Accounts.

  5. Select the Bank associated with this account.

  6. Save the bank account.


2.2 Additional Options When Creating a Bank Account

When creating a bank account, you can configure additional options to suit your business needs:


  • Is the Default Account: Enable this option to set the account as the default bank account for all journal transactions.

  • Is Company Account: Enable this if the bank account belongs to your company.

  • Account Type and Subtype: Use these fields for further classification in reports and financial statements.


3. Managing Party Details

3.1 Party Type and Party

If the bank account does not belong to your company, you can specify the party type and party:


  • Party Type: Select the type of party (e.g., Customer, Supplier, Employee, etc.).

  • Party: Choose the specific party (e.g., a particular customer or supplier).


This is useful for tracking bank accounts associated with customers, suppliers, or other entities.


3.2 Storing Bank Account Details

For reference, you can store the following details about a bank account in iVendNext:


  • IBAN: International Bank Account Number.

  • Bank Account No: The account number provided by the bank.

  • Branch Code: The branch code of the bank.

  • SWIFT Number: The SWIFT code for international transactions.


4. Address and Contact Information

4.1 Bank Branch Address

If the bank has multiple branches, you can specify the branch address for the account. This is particularly useful for corporate accounts where transactions are tied to specific branches.


4.2 Contact Person

You can link a Contact Person to the bank account. This is helpful for corporate accounts where banks provide a dedicated contact person for support.


4.3 Website

You can also add the bank’s website for easy reference.


5. Integration Details

5.1 Plaid Integration

If your bank supports Plaid Integration, you can synchronize your bank transactions automatically with iVendNext. To enable this:


  1. Set the Last Integration Date in the bank account details.

  2. This will automatically import bank transactions into iVendNext on the specified date.


5.2 Bank Statement Import

You can also manually import bank statements:


  1. Download the bank statement from your bank’s website.

  2. Go to Accounting > Bank Statement > Bank Statement Import.

  3. Select your company and bank account.

  4. Attach the bank statement and map the columns to the corresponding fields in iVendNext.

  5. Click Start Import to import the transactions.


6. Best Practices for Managing Bank Accounts

Here’s a quick look at some of the best practices for Bank Accounts


  • Regular Reconciliation: Regularly reconcile your bank accounts to ensure that your records match the bank statements.

  • Default Account: Set a default bank account for your company to streamline journal entries and payments.

  • Party Details: Ensure that party details (e.g., customer or supplier) are accurately linked to the bank account for easy tracking.

  • Integration: Use Plaid integration or manual bank statement imports to keep your transactions up-to-date.



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