MENU
    Bank Activity Overview
    • 07 Jan 2025
    • 6 Minutes to read
    • Dark
    • PDF

    Bank Activity Overview

    • Dark
    • PDF

    Article summary

    Overview

    Bank Activity displays bank data uploaded through direct bank connection, BAI transmission, or manual import. The data shown on the Bank Activity page is not GL impacting until it is matched to a transaction in R365. Users can manage bank connections, import bank files, manage rules, export bank data, and match transactions from bank activity.

    When activity is uploaded, the system applies auto-matching logic to pair bank activity with existing records in R365. Matched activity is moved to the Matched/Excluded tab, while activity that meets rule criteria is moved to the Rule Applied tab. Any unmatched activity remains in the Unmatched tab for manual review and resolution.

    Resolving transactions in Bank Activity throughout the period helps streamline the reconciliation process at period end. Matched transactions are automatically selected during the reconciliation process, allowing users to begin reconciliation once all activity has been addressed.

    If Rule Vault is not enabled in System Preferences, the Rule Vault option in the top ribbon is replaced by a Bank Rule tab.


    Setup

    Bank accounts must be created to prior uploading activity to bank activity. Only GL accounts that are marked as ‘is bank account’ will display in the Select Checking Account dropdown.


    Bank Activity Page

    The Bank Activity page serves as a centralized workspace for managing imported bank transactions. Data on this page is sourced from direct bank connections, BAI transmissions, or manual imports. R365 uses auto-matching logic to tie uploaded bank activity to existing records in R365. The page acts as a checklist for activity requiring action, whether through matching existing transactions or creating new transactions.

    • Non-GL Impacting: Data on the Bank Activity page does not affect the general ledger unless it is attached to a transaction in R365.

    • Matching and Creation: Users can match imported activity to existing R365 records or create new deposits, withdrawals, and AP payments directly from the imported data.

    The bank activity page consists of four tabs: Unmatched, Rule Applied, Matched Excluded, and Bank Rule. Upon upload of bank activity transactions move into the tabs based on auto-matching logic. Transactions that match existing records in R365 are moved to the Matched/Excluded tab. Transactions that meet rule criteria are moved to the Rule Applied tab for review. Transactions that do not match existing records, do not meet rule criteria, or contain multiple potential matches remain in the Unmatched tab. The Unmatched tab can be used as a checklist for activity that needs to be addressed.

    If the Rule Vault not enabled in system preferences, the Bank Rule tab is replaced by the Rule Vault option in the top ribbon.


    Get Bank Activity

    Once Bank Accounts are configured, the Bank Activity process can begin. This process consists of two major steps:

    1.  Upload Bank Activity. Bank Activity can be updated in one of three ways:

      • Manual Upload - Download activity from the bank (.qbo, .qfx, .bai, and csv file formats supported) and then upload the file on the Bank Activity page. The page attempts to automatically match the bank transaction with its corresponding transaction in R365, if the transaction was previously entered in R365.

      • Direct Bank Connection - Connect bank accounts to R365 and refresh their transaction details by selecting Retrieve Activity.

      • BAI File Transmission - Create a direct link to the bank where transaction details automatically pull into Bank Activity without user intervention.

    2.  Manually match, create, exclude, or delete entries that do not match automatically.

    Learn more about matching bank activity.


    Review and Apply Bank Rules

    If Bank Rules are set up and some of the uploaded transactions match those rules, the system will recommend that the rules be applied to those transactions. The Rule Applied tab is used to review and apply these suggested rules. The tab also displays the vendor, account, and location that will be assigned to the transaction if matched.

    Users will only see the ‘bank rule’ tab if they do not have ‘rule vault’ enabled.

    Review the records on this tab and make changes to the vendor, account, or location fields as needed. These can then be added to the Matched/Excluded tab either individually or in bulk.

    • Individually - In the Add column for the desired row, select the Add button.

    • In Bulk - Select the checkboxes for all desired rows or select the Select All checkbox in the column header and then choose Add Selected from the Select Command drop-down.

    A transaction is created for each selected row. These rows now appear in the Matched/Excluded tab with the rule that was applied displayed in the rule applied column. Learn more about the different commands in the Get Bank Activity training article.


    Delete or Exclude Transactions 

    Users can delete or exclude transactions that are not needed. To do this, select the appropriate transaction(s) and then choose either Exclude Selected or Delete Selected from the Select Command drop-down. Select Save Changes.

    Users will only see the ‘bank rule’ tab if they do not have ‘rule vault’ enabled.

    If the transaction is needed, but should not be subject to the bank rule, either delete the bank rule or update the rule so the transaction no longer fits the criteria.


    Manage Bank Rules

    Bank rules can be set and managed on the Bank Rules tab of the Bank Activity page or by selecting Rule Vault from the top ribbon if it is enabled. Bank rules are used so the system can attempt to assign a vendor, account, or location to the Bank Activity records imported based on set conditions.

    On the Bank Rule tab or in the Rule Vault, users can edit the conditions of the rules, which are extremely important to ensuring that specific transactions are matched correctly.

    Rules will not apply to transactions on the first creation. To apply them directly after the first creation, undo the import and re-import the bank activity.

    To create a rule, select the Add Rule checkbox on an activity row where the vendor, account, or location fields are populated and then select Add (or Bulk Add). To delete a rule, click the trash can icon in the far right of the row.


    Auto-match Logic Process

    Bank Activity matches transactions indefinitely going back, not forward. The matching process goes through the following sequence to find matches and potential matches:

    1. Accounts match, amounts match, and with a date range of +2 days – Mark as Match

    2. Same check number and with a date range of +2 days – Mark as Match

    3. Dates match – Mark as Match

    4. Amounts match and unique (only 1) and with a date range of -4 days – Mark as Match

    5. Amounts match and unique (only 1) and with a date range of -7 days – Mark as Match

    6. Locations match and with a date range of +2 days – Mark as Match

    7. Amounts match with a date range of +2 days – Mark as Match

    8. Amounts match multiple records – Mark as a potential Match (M on Unmatched tab)

    9. Repeat Steps 1-8 for all undeposited funds account entries after the most recent closed date on the legal entity

    Auto-matching is done only when there is only one possible match.

    If there is not a matching transaction in R365, users can create deposits, withdrawals, or AP payments from bank activity.


    Resolve Issues Caused by Duplicate Bank Rules

    Users will only see the ‘bank rule’ tab if they do not have ‘rule vault’ enabled.

    Duplicate bank expenses listed in the Bank Activity screen can prevent the process from running successfully. To correct this issue, delete the duplicate entries. Select the trash can iconat the end of each duplicate entry row and click Save Changes just above the table. This enables rematching the unmatched bank transactions.


    Multiple Potential Matches

    If there is more than one possible match in the system or if the payment is a possible match in a payment batch, a potential match is indicated with an 'M' at the end of the row.

    Users can sort the column by clicking on the header to view all transactions with multiple potential matches at the top of the list. To view the transaction matching options users can use the expand option at the left of the row, or expand all columns in the table by electing expand all (when expanded, the button displays as collapse all).


    Was this article helpful?