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How to reconcile the bank in NetSuite

Setting up bank feeds and reconciling your bank account transactions with those held in NetSuite

Introduction

Efficient and accurate bank reconciliation is a critical part of every business’s financial management. It ensures your books align with reality, avoids costly errors and provides a clear picture of your financial health. To simplify this process, NetSuite offers the Match Bank Data feature, which enables users to reconcile transactions easily and quickly. If you're new to this feature, don’t worry, this guide will walk you through setting it up and using it effectively.

Why is matching bank data important?

Reconciling transactions involves comparing your company's accounting records with actual bank statements to ensure everything matches. This process helps identify errors, unauthorised transactions, and forgotten entries, such as bank fees. However, manual reconciliation can be time-consuming and error-prone. The match bank data feature in NetSuite automates significant portions of this process, reducing headaches while improving accuracy and efficiency.

Prerequisites for using Match Bank Data

Before you can start using the match bank data feature, you’ll need to ensure the following:

  1. Bank connectivity
    • You will either need to use manual bank file imports or have an active bank feed connection
    • If you want automatic data imports, confirm that the bank feeds SuiteApp is installed and configured. This allows NetSuite to download your bank or credit card transactions automatically
  2. Permissions
    • Ensure your NetSuite role grants you access to bank account records and reconciliation features
  3. General ledger accounts
    • Associated bank accounts must be configured properly in your chart of accounts
  4. Bank file formats
    • If using manual uploads, ensure your bank supports formats like CSV, OFX, or BAI2, which NetSuite accepts

With these basics covered, you’re ready to set up match bank data.

Installing and configuring the bank feeds SuiteApp

The bank feeds SuiteApp is a crucial component for enabling automated bank connectivity within NetSuite. Here’s how to install and configure it:

Step 1: Install the Bank Feeds SuiteApp

  1. Navigate to the SuiteApp Marketplace by clicking SuiteApps in the main menu or navigating to Customization > SuiteCloud Development > SuiteApp Marketplace
  2. Search for Bank Feeds SuiteApp in the marketplace
  3. Once located, click Install and follow the prompts to complete installation. Ensure you have the administrator role to perform this step

Step 2: Enable Match Bank Data for relevant bank accounts

  1. Go to Lists > Accounting > Accounts
  2. Click Edit next to the bank account you wish to use with Match Bank Data
  3. Ensure the Use Match Bank Data and Reconcile Account Statement Pages checkbox is ticked
  4. Click Save to save the record
  5. Repeat for all bank accounts you wish to use with Match Bank Data

Step 3: Connect your bank accounts

  1. Go to Setup > Accounting > Financial Institution > List
  2. Click on View next to the Bank Feeds financial institution record
  3. Click on the Format Profile : Configuration sub-tab
  4. Click on Edit next to the appropriate Profile record
  5. Click on the Connectivity Configuration sub-tab
  6. Click on the Connect New Institution button and follow the onscreen prompts
  7. Once you have created the bank connection, click on the Account Linking sub-tab and select the appropriate Linked GL Account for each feed
  8. Click Save to save the Profile record

Setting up Matching Rules (optional)

Matching rules allow you to specify how bank transactions should be automatically matched to corresponding transactions in NetSuite.

  1. Go to Transactions > Bank > Match Bank Data
  2. Click on the "..." at the top righthand side of the screen and then click on Reconciliation Rules
  3. Enable or disable the out of the box System Rules by checking on unchecking the corresponding checkbox in the Active column
  4. Create custom rules by clicking on the New Rule button in the User Rules section

Using the match bank data feature

Now that your setup is complete, you can move on to reconciling transactions using the match bank data page.

Step 1: Access the match bank data page

  1. Navigate to Transactions > Bank > Match Bank Data
  2. Select the bank or credit card account you wish to reconcile from the Account dropdown
  3. If you have automatic bank feeds enabled, or have previously imported a statement, then the bank account transactions will load on the lefthand side of the screen, with the corresponding NetSuite transactions loading on the righthand side of the screen
  4. If you wish to import a statement, click on the "..." at the top righthand side of the screen and then click on Import File

Step 2: Match transactions

  • If you have configured Matching Rules, then click on the Run Reconciliation Rules button to run them
  • Review NetSuite’s list of suggested matches to confirm you are happy with them
  • Manually match any remaining transactions you wish to reconcile by checking matched transactions in the lefthand and righthand transaction panels

Step 3: Reconcile

  • Once all items are matched, click the Submit button to finalise the reconciliation

Tips for effective use

  • Schedule regular reconciliations
    • Reconcile your accounts weekly or monthly to keep records clean and manageable
  • Tweak matching rules regularly
    • Adjust rules to reflect changes in transaction patterns for better automation
  • Use filters
    • Filter transactions by date, amount, or category for faster manual reviews

Benefits of using the match bank data feature

Implementing and leveraging this feature provides several advantages:

  • Saves time
    • Automated reconciliation reduces the time spent on tedious manual processes
  • Improves accuracy
    • With fewer manual steps, errors are minimised, ensuring more reliable financial records
  • Enhances security
    • Catching discrepancies early improves fraud detection and protection
  • Supports strategic planning
    • Clean, current data gives leadership a clearer financial picture for better decision-making

Final thoughts

The Match Bank Data feature, coupled with the bank feeds SuiteApp, enables you to bring automation and precision to your reconciliation process. With less manual effort, your team can shift their focus from spreadsheet tedium to strategic, value-added tasks. Whether you’re reconciling for small businesses or large enterprises, this NetSuite feature is a game changer for efficient accounting operations.