Automation and AI have brought about optimistic revolutionary changes in the banking, finance and insurance sector. Today's organizations leverage next-gen technologies like Artificial Intelligence (AI), Machine Learning (ML), and intelligent Automation (IA) for the seamless execution of their business processes. Gone are the days when just hard work was the key to an organization remaining competitive, optimizing costs, and boosting its performance. It's time to supplement hard work with smart work to deliver the next wave of productivity and improvement in customer experiences.

With automated bank statement software, organizations can capture and intelligently assort bank statement data ensuring error-free entries. Process reports without or with very little human intervention in lesser time with higher accuracy and frees-up employees for higher-value work that requires human expertise. Learn how bank statement software can be a fruitful addition to your toolbox.

What is Bank Statement Processing?

A bank statement is a financial document containing a list of all transactions made in a given period. It includes the bank's name, account holder name, account number, statement period, opening balance, closing balance, and other key details needed by organizations, lenders, or individuals for bank statement data processing.

Organizations often carry out this processing when they have to verify proof of employment, assess the creditworthiness of individuals, and analyze other financial data before approving loans.

Limitations of Manual Bank Statement Processing

Often organizations might request bank statements for up to two to three months. The traditional manual processing and analysis method tends to consume significant time in today's fast-paced world. Moreover, manual bank statement processing brings along other limitations as well, including:

Inaccuracy:  The monotony of repeated tasks and the bulk of documents creates room for errors in manual bank statement processing. You could be reading bank statements incorrectly, making mistakes while manually extracting the numbers or categorizing different data. The slightest mistake gives rise to a cascade of errors making it difficult to fix inaccuracies.
Frauds: Despite the enforcement of bank fraud prevention laws and protocols, manual bank statement processing has chances of fraudulent practices such as altering variable information, increasing a bank statement with lines of debit or credit work to fake credibility, applying false stamps, and more.
Slow speed: Entering data manually from bank statements to Excel is a tedious task that eats up quality man-hours that can be utilized elsewhere.
Data security: Manual data intervention can lead to data leaks that are certainly not permissible in the business world. Sensitive financial data requires the utmost security that is put at stake with manual data processing.
Added costs: Most importantly, setting up a team of skilled individuals to process your bank statements involves higher costs compared to using automated bank statement software.

Automated Bank Statement Processing Software: Your One-Stop Solution

An automated bank statement software employs Intelligent Document Processing and OCR technologies to extract data from bank statements. It then converts the information into digital formats such as JSON, XML, and others as per your requirement. An efficient bank statement processing software helps convert pdf bank statements to actionable versions. Moreover, you can use them to extract data from images.

How Does it Work?

Bank statement software has an easy-to-use interface. It allows you to convert bank statements to Excel, CSV, or JSON files with a few clicks. Following are the steps involved in processing bank statements using the software:

Step 1: Upload the documents

The software uses OCR or Optical Character Recognition technology as well as a reverse image search method to scan documents and extract data from them.

Step 2: Edit the banking data

Neural networks and advanced intelligence in the software accurately read the data on the scanned document. It allows you to edit the digital file wherever required.‍

Step 3: Validate

The bank statement software may ask you for field validation. This step ensures that the software assigns the right attributes to the extracted data.

Step 4: Review suggestions

The intelligent software captures the data and puts forth suggestions to enhance readability or rectify errors. You can either approve or reject the suggestions.‍ Thus, any data will not be altered without bringing it to your knowledge.

Step 5: Download the document‍

With everything in place, you can assess the document and download the file in the preferred format. You can also export the file to software of your choice.

Benefits of Using Bank Statement Software

The financial world has no space for accounting errors, as even the minutest of errors can lead to fatal consequences and tarnished reputations. Therefore, switching to reliable bank statement software for all the processing is a must. Some of the key benefits of using the software are as follows:

Prevents fraudulent transactions: The statement processing software cross-verifies databases to prevent fraud. ‍
Ensures data accuracy: Unlike manual data entry, which brings along a high margin of human error, the bank statement software yields up to 99.5% accuracy in extracting data from financial documents. You need not worry about duplicate entries, missing fields, or misinterpreted information.
Accelerates the process: It processes large volumes of data within seconds, making the overall process much faster and streamlining core banking processing.
Enables paperless document storage: The software allows you to store data on the cloud. Thus, reducing the additional costs of transporting documents. Moreover, you need not worry about losing important bank statement records.‍
Allows quicker comparison: The bank statement software extracts data from different documents and makes it available for comparisons. Organizations can compare balances, identify total deposits/withdrawals, and find inconsistencies.  
Reduces costs: While setting up an automated bank statement software requires an investment, the long-term costs of using these efficient solutions are very low. Organizations can save hefty amounts via automated bank statement processing because manual document processing cost amounts to 170% or 20 times more than automated methods.

Lower Your Risk with Efficient Bank Statement Software

With real-time fraud detection and 10X faster processing, bank statement software is the ultimate choice of top organizations. Streamline your financial processing with the software instead of assigning your skilled professionals to mundane tasks. It's time to employ human efforts on issues that require expertise in order to stay ahead of the competition!