![]() ![]() A subtraction for a customer's check that did not clear the customer's bank account.Bank service charge for maintaining the checking account.Some examples of bank debit memos include: ![]() Examples of Bank Debit Memo in a Bank Reconciliation (The company's Cash account needs to be debited because its asset has increased.) Definition of Bank Debit MemoĪ bank debit memo is an item on a company's bank account statement that reduces the company's checking account balance. For example, if the bank statement shows a credit memo of $20 for interest earned, the company will debit Cash for $20, and credit Interest Income for $20. To record the bank credit memo the company will debit Cash and credit another account. Since the amount of the bank's credit memo has already been added to the bank's balance, the bank reconciliation will not reconcile unless the amount is also included in the company's general ledger Cash account. The bank having collected a note for the company. ![]()
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