Introduction reference

Bank reconciliation glossary

This glossary defines the core terms used in bank reconciliation and Invunion documentation. Use it to distinguish bank transactions from invoices, proposed matches from confirmed matches, and Open Banking consent from bank credentials. Product-specific definitions describe current product behavior and may be refined as workflows evolve.

Reconciliation terms

Bank reconciliation

The control process of comparing an organisation’s accounting records with bank records, investigating differences, and retaining evidence that explains the final balance.

Bank transaction

An entry reported by a bank account, such as an incoming customer payment, fee, transfer, refund, or other debit or credit. Its available fields depend on the bank and connection method.

Issued invoice

An invoice sent by an organisation to a customer. The current Invunion reconciliation scope focuses on incoming payments against issued invoices, plus outgoing refunds associated with issued credit notes.

Credit note

A document that reduces or reverses all or part of an issued invoice. In reconciliation, an issued credit note can help explain an outgoing customer refund.

Match

A link between a bank transaction and an invoice candidate. A match may be proposed for review or confirmed, depending on the available evidence and current workflow.

Confirmed match

A match accepted by the system’s current high-confidence rule or confirmed by a user. Confirmation does not replace the organisation’s own accounting controls.

Pending review

A proposed match with enough evidence to show to a reviewer, but not enough to confirm automatically under the current thresholds.

Unmatched transaction

A bank transaction for which no suitable invoice candidate has been confirmed. It may be outside the current product scope, missing identifying data, or require a manual decision.

Exception

An item that needs attention because it cannot follow the normal automated path. Examples include missing invoice data, an ambiguous reference, a currency mismatch, or a payment pattern not supported by the current release.

Confidence score

The matching service’s internal score for the available signals. It is a decision aid, not a probability or guarantee. See Review match confidence for the current thresholds.

Counterparty

The customer or other organisation associated with an invoice or transaction. Bank-provided names can vary, so an exact name is only one possible matching signal.

Payment method

In Invunion, a record used to associate transaction identifiers (such as an IBAN or a known payment-provider pattern) with a counterparty.

Open Banking terms

Open Banking

A regulated method for a customer to authorise a third-party service to access defined payment-account data through an API. Access depends on the customer’s consent and the bank’s authentication flow.

PSD2

The European Union’s revised Payment Services Directive. Among other topics, it provides a regulatory framework for payment services and access to payment-account information.

AISP

An Account Information Service Provider. An AISP provides account-information services with the user’s consent under the applicable regulatory framework.

ASPSP

An Account Servicing Payment Service Provider, typically the bank or payment institution that maintains the payment account.

SCA

Strong Customer Authentication. The bank may require the user to authenticate with two or more independent elements when granting or renewing access.

The permission a user gives for defined account information to be accessed for a defined purpose and period. Consent can expire or be revoked.

Mock ASPSP

A test bank supplied for sandbox development. It does not contain real financial data and its behaviour can differ from a production bank.

Invunion environment terms

Sandbox

The safe test mode used by new Invunion tenants. It uses test banking credentials and a Mock ASPSP rather than a real bank connection.

Production connection

A connection to real bank-account data. Production availability, institution coverage, onboarding, and legal terms must be confirmed with Invunion before use.

Sync

The process that requests available transactions from a connected account and imports new entries. Repeating a sync should not create duplicates when the provider supplies the same source reference.

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