Xero Bank Rules

21st October 2013

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Bank rules can be used to cut down on bookkeeping time by automatically creating the transactions that match lines on your bank statements. Xero actually starts setting these up itself by learning from your previous transactions and suggesting matches for similar transactions. However you can also set these up yourself if Xero is not suggesting matches where you would like it to.

For example, if you have a streamline machine that collects credit card payments from your customers all this money in will appear on your bank statement with a description like “MV-57485743-78432-POS”. The description is slightly different each time so Xero will not automatically suggest a match for these transactions. However, you can set up a bank rule to say when the description contains “MV” the transaction should be posted to the “Credit card control account”.

The simplest way to set up rules is during the reconciliation process as Xero automatically fills the fields for the rule using the transaction data. In the Reconcile screen you can see a “create rule” above every transaction on the left hand side of the screen. However, you can also access bank rules through the Manage Account button under the banking section. This allows you to edit or delete bank rules you have previously created.

If you needed any further help with Xero please feel free to contact us on 01273 737307 or e-mail us at info@bainbridgelewis.co.uk.