How to record bank charges and interest

Summary

How to account for bank charges, fees, or interest you paid or received in Sage Accounting. This article covers bank feeds, reconciliation, and manual entries.

Resolution

Before you start

  1. Decide which category will track bank interest and charges.
  2. Use the default Category 7900 – Bank Charges and Interest if applicable.

From a Bank Feed or imported statement

Imported transactions can appear as separate charge entries or as payment or receipt amounts adjusted for fees.

Separate transactions

  1. On the Incoming Transactions page, choose the Charges and Interest category.
  2. Select Create.

Where the receipt or payment is adjusted

Adjustments can occur after currency conversion and can include third‑party processing fees such as PayPal.

  1. On the Incoming Transactions page, select Match.
  2. Find the invoice to pay.
  3. Change the payment amount to match the invoice amount.
  4. Select Make Adjustment.
  5. Enter the bank charge details, select Add, then select Match.

When you reconcile your bank account

  1. On the Bank Reconciliation page, select Add Interest and Charges.
  2. Enter the interest or charge details.
  3. Select Save.

As a manual payment or receipt

For interest and charges being paid

  1. From Banking, select New.
  2. Choose Money Out.
  3. Enter these fields: Paid from Bank Account, Method, Date Paid, Amount Paid, Category (Bank Charges and Interest).
  4. Select Save.

For interest received

  1. From Banking, select New.
  2. Choose Money In.
  3. Enter these fields: Paid into Bank Account, Method, Date Paid, Amount Received, Category (Bank Charges and Interest).
  4. Select Save.

Solution Properties

Solution ID
240304191301160
Last Modified Date
Wed Mar 11 18:08:06 UTC 2026
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