A software application designed to match credit card transactions recorded by a business with the corresponding entries in bank statements. This process confirms that all transactions are accounted for and that no discrepancies exist between the business’s internal records and the financial institution’s records. For example, if a business records a $50 charge to its credit card for office supplies, the application helps verify that a corresponding $50 transaction appears on the credit card statement.
The act of verifying credit card charges is critical for maintaining accurate financial records, preventing fraud, and ensuring compliance with accounting standards. Historically, this process was performed manually, which was time-consuming and prone to errors. Automating this procedure through software significantly reduces the time and effort required, while improving accuracy and providing a clear audit trail. Furthermore, businesses can quickly identify and resolve discrepancies such as unauthorized charges, double billings, or incorrect amounts.
