Extracting Data From Checks and Deposit Slips

Analyzing bank statements is a key step for a wide variety of accounting services procedures from a hard core forensic accounting investigation to a common financial statement audit. If you're an Accounting professional leading any engagement you know that bank statements fall short of providing all the information required to use them to verify accounting records. Bank statement transactions that represent outgoing checks, incoming checks and deposit slips rarely contain the information that professionals need. Primarily where did the money come from (deposit slips and incoming checks) and where did the money go (outgoing checks). Bank statement transactions don't contain this data and professionals are left to manual procedures to sort through pages of images. This highlights a broader data problem for any Accounting Professional in general that leads engagements to answer one or both of the following two questions:


1) Are the accounting records accurate (audits, diligence)?
2) Where did the money go (investigation, divorce, fiduciary)?

Each client has its own unique set of data sources (accounting systems, documents, financial institutions) that professionals must integrate together in order to form their opinion. The vast diversity of data sources make it difficult to scale software solutions so professionals are left with manual procedures.

Valid8 has trained image recognition algorithms to find images of evidence that exist in financial documents like bank statements. Computer vision scans each page looking for checks and deposit slips. When found, the image is clipped out of the document and sent to specialized extraction software to identify the critical data fields (payee, payor, etc...) missing from banking transactions. Additionally, incoming checks get associated to deposit slips so that the single deposit that shows up on a bank statement can be broken down into it's specific sources. Then each check and deposit slip item is matched back to the original bank statement transaction.  The result is greater speed, accuracy, and coverage allowing professionals to accelerate engagements and deliver higher levels of service. Checks and deposit slips are only one example of the vast array of documents and data sources that Valid8 integrates to provide forensic-grade financial intelligence.

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