Electronic Bank Statement

Question:
I need your help in my project'Automatic Bank Reconciliation' , I'm forwarding the electronic bank scenario(find below). I know the manual process but not the automated one.I'm new to this format. How to upload the MT940 format to SAP system and reconcile it with bank book..Could you forward me the customization procedure also?

Answer: Correct me if I am wrong

A. Electronic Bank reconciliation Process – (FF_5)


Import the bank statements (in MT940 format) received from banks

After the uploading of this statement, the process creates postings in the main bank account. The accounting entries are passed as mentioned below.

Dr Main Bank A/c
Cr Incoming Payment A/c

Dr Outgoing Payment A/c
Dr Main Bank A/c
The un-reconciled items will remain as open items in “un reconciled account” which can be reconciled manually. (As the Accounts are in open item management)

Reprocess Un-reconciled items – FEBAN

• Through this session we can clear the un-posted or un-reconciled items from the above mentioned process.

• The session enables us to select any of the bank statements created by us based on statement date and identification key.

• We can correct the selected items one after another. At the end, post again for all changed items.

B. Customization of Electronic Bank Statement

Manu Path: IMGFinancial AccountingBank AccountingBusiness TransactionsPayment TransactionsElectronic Bank Statement

a. Create Account Symbols
b. Assign Accounts to Account Symbols
c. Create keys for posting rules
d. Define posting rules
e. Create Transaction types
f. Assign Bank Accounts to transaction types

(Note: Separate accounts for Bank Charges (Discount or Collection), and Interest are to be maintained, rules (Keys, account symbols) are to be defined for auto posting to these accounts)

More details on above configuration:

• Bank accounts are assigned to transaction types. Transaction types represent the type of bank statements which company receives. For example, a country has one bank account for payment with Chase bank and one bank account for payment with American Bank. These two bank accounts will be assigned to two different transaction types, as the information provided on the bank statements of both banks will be different.

• External transactions are assigned to transaction types. External transactions are abbreviations on bank statements which indicate the type of transaction (e.g. bank transfer, cheque deposit) from the bank’s perspective.

• Posting rules are assigned to external transactions. Posting rules determine the posting keys and document types used in posting the bank statement. For example, if the external transaction is incoming payment, the posting rule will specify that the incoming payment bank GL account should be posted with posting key 40 and the incoming bank clearing account should be posted with posting key 50. Posting rules also determine if the bank clearing accounts are cleared at the time of bank statement posting. In addition, posting rules determine which GL accounts get posted via account symbols.

• Account symbols are assigned to GL accounts. For the same account symbol, different GL accounts can be assigned for posting using different currencies.

• Additional configuration will be required for each new country due to different bank accounts and bank statement contents.