Bank Reconciliation Statement

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What is a 'Bank Reconciliation Statement'

A bank reconciliation statement is a form that allows individuals to compare their personal bank account records to the bank's records of the individual's account balance in order to uncover any possible discrepancies.

BREAKING DOWN 'Bank Reconciliation Statement'

Since there are timing differences between when data is entered in the banks systems and when data is entered in the individual's system, there is sometimes a normal discrepancy between account balances. The goal of reconciliation is to determine if the discrepancy is due to error rather than timing.

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