Bank Accounts and Reconciliation

Question

Hi, Greetings of the day!
I don't understand why 3 GL accounts required for one bank, namely Bank Main Account, Bank Receipt Account and Bank Payment account. Why can't all these be controlled by one single GL account.
Regards
Chirag

Answer 1

Hi:
     In normal business scenario there are many cases that checks gets bounced,delayed clearing from banks and many ohter issues. Furthermore you know there are different modes of collection if we talk about customers ,like getting Post dated checks from them, current dated checks. Checks may get bounced. As a matter of financial prudence you should reflect the only realistic bank balance in your main account. SAP caters this need by requiring businesses to maintain three or sometime four (4ht for Post dated checks). Collections and payments are recorded in incoming and outgoing bank accounts respectively as soon as they are received or paid. These two accounts are kept on Open item management which shows that they need to be cleared. Once you receive bank statement from bank showing the deposits in incoming accounts and payment made via outgoing account you execute Bank reconciliation statement.
Cash falsification can be avoided too using clearing bank account concepts. Normally a business has so many branches across the country, in branches which are more often considered as collection and sales centers, we give authorization of incoming bank account to them, if we start using one main account then they will start playing with bank which can lead to risk of fraud.
Clearing accounts provides fundamentals for bank reconciliation statement . If you do not want to use clearing account then BRS will of be no use for you. You can then simply use main account for all cash disbursements and collections.. The best idea in this case will be to give end users authorizations to park the transaction in main bank account , and a senior should have the authority to post the transactions. I hope it will help you clearing your concerns.
Regards