Payment Reconciliations

Photo by Loic Leray on Unsplash

What is reconciliation? Why is it required?

Merchants are managing digital payments at a steady pace and across an ever-expanding field of touchpoints and partners. And every penny that comes in or goes out — must be tracked and accounted for.

Why is it important in digital payments?

Merchant payments often have fund flow decoupled from transaction flow. Typical settlement can happen on T+1 or T+2 days. There are often discrepancies between settlement data and transaction response data. This can be due to multiple reasons:

  1. Late success/Failure — Lag in status updates, there are some transactions which take time to move into success/failure, thus causing recon issues
  2. Charges — Usually merchants are always settled in the amount net of commission, charges, taxes, etc. which further increases mismatch possibilities between money received vs expected

Why does it become complex?

As merchant volumes grow, it becomes very complex for finance/CRM teams to do reconciliation activities manually. This is due to:

Different Date of Transactions vs Refunds

How are we solving complexity?

We use data analytics and engineering to ease this operations heavy process. We’ve designed a system that adapts to your recon needs seamlessly by learning your file structures & customizing the output as per your need. We use data pipelines to fetch the required files for reconciliation automatically from you on time.

Steps to recon

Data Import: Data can be uploaded or files can be directly configured to an email id which will be picked up by our service thus reducing manual intervention here.

Data Upload Process
Reconciliation Dashboard View
  1. Amount Mismatch — The tool also highlights mismatch in transaction amount or transaction fee amount and this can be raised with the PG team too directly from the dashboard
Bulk Actionables on various statuses

Have more questions on Payment Reconciliations?

Feel free to reach out to us at biz@juspay.in or check out our website www.juspay.in.

Full stack payments