Bank transactions
Bank transactions record money moving between your own accounts, and bank charges and interest: transfers from bank to bank, cash deposited into the bank, cash withdrawn, fees the bank took, and interest it paid. They can also exchange money between currencies.
Go to Bank › Bank Transactions and click Add.
Transaction types
| Type | From | To | Posts |
|---|---|---|---|
| Transfer | A bank account | Another bank account | Dr to-bank / Cr from-bank |
| Deposit | A cash account | A bank account | Dr bank / Cr cash |
| Withdrawal | A bank account | A cash account | Dr cash / Cr bank |
| Bank Charges | A bank account | An expense account | Dr expense / Cr bank |
| Interest | An income account | A bank account | Dr bank / Cr income |
Entering a transaction
- Choose the Transaction Type, then the accounts on each side. Bank accounts must be active, and the two accounts must be different. Bank Charges starts with the Bank Fees Ledger and Interest with the Interest Income Ledger from Ledger configuration; you can pick another account.
- Enter the Date, Amount, Reference (bank reference or transaction number) and Notes.
- For transfers, deposits and withdrawals you can add a Bank Fee and its Fee Account. The fee is charged to the bank account on this transaction and posted to the fee account (an expense account).
- Fill in the payment Method (Bank Transfer, Cheque, Card, Online, Cash), and Cheque No and Cheque Date for a cheque.
- Save as Draft to keep it without changing anything (nothing is posted and no money moves), or Save and Post to post it now. Posting needs the approve permission; a draft is posted later with Post on its page. See Draft and approved documents.
A Deposit takes the money out of a cash account, so it follows the Negative Cash setting in Preferences: when it would make the cash account negative, it is refused while Negative Cash is off, and you are asked to confirm while it is on ("This transaction creates a negative cash balance. Continue?").
A Withdrawal brings money into a cash account, so editing it to bring in less (or into another account) and deleting it are checked the same way ("This change creates a negative cash balance. Continue?").
Exchanging currencies
Transfers, deposits and withdrawals between accounts in different currencies are currency exchanges:
- Each side is in its own account's currency. Enter the amount paid (Paid Currency) and the Amount Received in the other currency (Received Currency).
- The Effective rate is shown.
- The difference in base-currency value goes to the exchange gain/loss account.
Bank charges and interest are always in the bank account's currency.
Viewing and printing
The transaction page shows its Journal Entries (debits and credits). Print, PDF and Excel are available.
Transactions in a completed bank reconciliation can't be changed until it is undone. Revaluation entries are made on the Bank revaluation page, not here.