Unidentied Direct Credits to our Bank Accounts

[Leslie22]

A member has deposited money into our bank account, however has not provided any details as to who he is, and hence I cannot reconcile.

Please will you advise how I can go about recording this "unidentified" deposit and thereafter reconcile our bank accounts for December?

Thanks and Happy New Year everyone.

[Neil_M · Accepted solution]

Hi Leslie ( @Leslie22 )

Thanks for your question.

The only way you can work around this, until the time that you identify the person that has made this payment with no details, would be to record it as a general receive money for now to get the bank reconciliation done.

This will let you record the money coming in and bringing up the bank account by that amount. This will let you reconcile the bank account without difficulty.

Once the payments owner has been identified then the receive money transaction can be reversed or a spend money transaction that uses the same accounts be recorded. This will reduce the bank account and offset the original receive money transaction.  You may also want to use the same date as the original payment, and may also want to record a more descriptive journal memo so that you know what that specific transaction relates to.

The next step is to record the actual payment from the member, which you will do through the Receive Payments section of your software. This should use the same date as the reversed transaction we did previously. These last two transactions will offset one another in the bank reconciliation and both will need to be ticked to clear them from the Reconcile Accounts window.

Do let me know how you get on with this, and a happy new year to you as well

[Leslie22]

Thanks Neil,

Very helpful advise as always.

Appreciate all the effort you go.

[Neil_M]

Hi Leslie ( @Leslie22 )

Happy to help as always and glad you have been able to get that sorted.

It may be a good idea, if you use a customised invoice haven’t already done so, to put a note on the bottom of the invoice under the bank details section as a reminder to include some identifying details, you could even make this bold to draw their attention to it, and hopefully they will take notice of it.

Please feel free to post any other questions you may have as we are always happy to help whenever we can

[DuncanS]

@Leslie22 @Neil_M

Leslie,

It is interesting that some people don't know how to use Internet Banking.

Some people puts the suppliers name instead of their name.

The supplier already knows their name.

In the future, many Invoices will have a pay now button.

One would think that will overcome the difficulties people have with Internet Banking.

With unidentified deposits, I use a Current Liability called Unknown Deposits.

When preparing a BAS or IAS (quarterly or monthly), I always review all Balance Sheet accounts before looking at a P&L.

Duncan