Reconciliation reports compare the transactions on a merchant’s monthly credit card statement and a credit card processing company‘s internal financial records to make sure a small business owner is being billed accurately. This is a necessary step to ensure there are no discrepancies between what the merchant was told they’d be charged and what they actually were charged.
How A Reconciliation Works
Each month or at the end of each financial period, a merchant (or their bookkeeper or accountant) goes through each credit card transaction to see if it matches their credit card statement. If there is a discrepancy found, an investigation is performed to determine what course of action needs to be taken. That could be anything from disputing transactions, correcting line items or errors, or anything else to address the issue.
Common Questions about Reconciliations
Why is reconciliation software important for my business?
One of the biggest benefits of reconciliation software is reducing the time it takes for a business owner to manually compare their credit card statements with their settlement reports. It also helps minimize human errors, easily finds any payment discrepancies, and consolidates reports across all channels, processors, currencies, etc.
What is typically found on a reconciliation report?
There are a few different things you might find on a reconciliation report:
- A payment submitted to the gateway.
- A payment successful debited from the customer and credited to the business.
- Possible chargebacks or reversals for credit card payments.
What do I do if I find a discrepancy on my reconciliation report?
We understand that credit card processing is vital to running your business. That’s why if there is ever a problem with your merchant services account, our Support Team is ready and standing by to help you with any issues that may arise. If you find a discrepancy on your reconciliation report, please reach out to our team at 866-701-4700 at any time day or night.
Source: manufacturer website