Bank statement processing is the process of extracting, verifying, and reconciling data from bank statements. Traditionally, processing bank statements relied on just manual methods, which involved inputting transactions one by one into the system and then comparing them to the internal cashbook or accounting system to identify discrepancies and fraud. Manual processing assesses inefficiency because it is time-consuming and error-prone. The potential of fraud is often missed. This is where Artificial Intelligence (AI) plays an important role in bank statement processing. AI provides significant benefits to businesses, from time spent to accuracy, leading to workflow efficiency and smart decision-making. This article will discuss more how AI has transformed bank statement processing and provide the best AI software for your businesses.
Common Challenges in Manual Bank Statement Processing
These challenges often occur when bank statements are managed manually.
1. Time-consuming data entry
One document can contain over one hundred transactions; if staff must enter them one by one into the system and then verify with existing data, it takes a lot of time. Imagine completing one document in 2 hours. What about hundreds or even thousands of bank statements? It can take a few days or even weeks. Not even employees must go through multiple checks for accuracy.
2. Human errors and inconsistencies
As it is based on manual work, it is prone to human errors such as typos and miscalculations, which contribute to inconsistency. This also affects the entire process, causing delays in other divisions.
3. Difficulty in handling large amounts of documents
When businesses handle a lot of documents on a daily basis, manual data entry becomes overwhelming since staff must input transactions line by line. This is not only time-consuming but also unproductive for employees. Thus, it is impossible to efficiently handle hundreds or even thousands of documents.
4. Prone to fraudulent activity
Manual handling of bank statement handling makes it difficult to detect signs of fraud quickly. When staff conduct the process, unusual patterns and suspicious transactions often go unnoticed, especially in this era where fraud is becoming sophisticated. If a business is defrauded, it can result in a variety of negative consequences, from financial losses to reputational damage.
How AI Works for Bank Statement Processing
1. Automates data extraction
While manual processing needs staff effort to input transactions into the system, AI automates this step. Staff simply upload bank statement documents, and the AI will extract all transaction data from bank statements quickly. Staff just check the results and export them into the system.
2. Improves accuracy and efficiency
AI offers a high level of accuracy, eliminating the need for multiple checks that take time. AI can also detect unusual transactions, protecting businesses from fraudulent activities. This significantly reduces time spent, so staff does not need to conduct repeat tasks, resulting in workflow efficiency.
3. Smart decision-making
With faster data extraction and verification, individuals’ or businesses’ bank statements can be analyzed more quickly. Insight from the results can lead to better decision-making.
Optimize Efficiency in Bank Statement Processing with Fintelite AI
As AI becomes a game-changer for businesses that handle bank statements on a daily basis, choosing the right AI software can be difficult because many vendors provide different features and benefits. Fintelite can be the best AI for processing bank statements. It processes documents faster with over 90% accuracy, even with hundreds or thousands of bank statements. With its powerful capabilities, the price offer is quite affordable, making it suited for businesses of all sizes across the world.
Interested in experiencing it for your business? Schedule your best time with our experts now!
