Can truth in Bank statements show as clear proof of authorised verification and validation of an account?

A bank statement only provides a summary of transactions and balances. It may not independently prove the correctness, authorisation, verification, and validation of each transaction.

Receiving a statement isn’t always clear proof that an account is properly authorised, verified and validated. Nor is it evidence of truth in Bank statements, or that a legitimate debt is being claimed.

The figures presented in a bank statement are usually based on the records maintained by the Bank. While these figures may be accurate by the Bank, errors or discrepancies are still possible.

Therefore, additional supporting documentation and verification processes are often necessary to establish the accuracy and legitimacy of transactions.

Follow The Money

“Follow the money” is one way to cut through the lies and deceptions and find the truth in Bank statements. It’s a phrase that Deep Throat supposedly whispers to reporter Bob Woodward  in the Watergate scandal.

When you “borrow” mortgage money, ask the bank where the money comes from.

To ensure that the balance shown in a bank statement is accurate and correct, ask the bank to supply:

Transaction Details:
Obtain detailed information about each transaction included in the statement, such as dates, amounts, descriptions, and transaction IDs.

Supporting Documentation:
Ask for receipts, invoices, or other supporting documents for significant transactions to verify their authenticity and accuracy.

Audit Trails:
Request access to audit trails maintained by the bank, with a detailed record of transactions, including timestamps, transaction IDs, and account balances.

Reconciliation Reports:
Review reconciliation reports that compare records from different sources (e.g., bank statements, receipts, internal records) to identify and resolve discrepancies.

Authorisation Records:
Proof that the account holders agrees to each transaction. This may involve reviewing authorisation forms, signatures, or electronic authorisation records.

Verification Procedures:
Confirm the appropriate verification procedures for each transaction. Consider validation checks, approval processes, or verification of payment details.

Account Activity Logs:
Examine account activity logs to track any changes or updates made to the account, including additions, deletions, or modifications of transactions.

Communication Records:
Review communication records (e.g., emails, letters, phone call transcripts) related to transactions. Confirm instructions, approvals, or clarifications.

Authentication Mechanisms:
Confirm that proper authentication mechanisms (e.g., passwords, PINs, biometric verification) to validate transactions and access the account.

Validation of Bank Statements

Reviewing the above information and performing the necessary checks ensures accuracy and correctness balances shown in on bank statements.

Clear documentation and established procedures for account management and transaction verification can help ensure the integrity of financial records.

Ask the bank for supporting documentation and verification processes to establish the accuracy and legitimacy of transactions.