Why does my bank reconciliation not balance?

If you are not out of balance for the previous reconciliation the problem is with the CURRENT reconciliation. Check for bank fees, direct debits, un-entered (forgotten) transactions, duplicate entries, or transactions that may have been incorrectly entered. You should also check for any errors on the bank statement.Click to see full answer. Keeping this in view, what happens if bank reconciliation doesn’t balance? Ten Things You Should Do If Your Account Doesn’t Balance Make sure that you’re working with the right account. Look for transactions that the bank has recorded but you haven’t. Look for reversed transactions. Look for a transaction that’s equal to half the difference. Look for a transaction that’s equal to the difference. Check for transposed numbers. what are the causes of discrepancies in bank reconciliation? The reasons for the difference between the balance on the bank statement and the balance on the books consist of; Outstanding checks. Deposits in transit. Bank service charges. Check printing charges. Errors in the books. Errors by the bank. Electronic charges on the bank statement not yet recorded in the books. how do you balance a bank reconciliation statement? Bank Reconciliation Procedure: Using the cash balance shown on the bank statement, add back any deposits in transit. Deduct any outstanding checks. This will provide the adjusted bank cash balance. Next, use the company’s ending cash balance, add any interest earned and notes receivable amount.What are reconciliation discrepancies?The reconciliation feature allows you to be sure that your account shows your business transactions with near to perfect accuracy. But if you have reconciled your accounts and then if it still shows a different balance during the reconciliation, then you should consider it as reconciliation discrepancies.