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FAQ

A Balance Confirmation Letter is a letter from the bank to its customer confirming certain details about the customer's account(s) with the bank and some facilities availed from the bank during a particular financial year. The letter acts as evidence for the auditors of the company for year-end audit purposes.

Dear Sir, Sub: Balance confirmation as on 31st August 2013 as required by internal audit department. With reference to the above subject, our books of account show a credit/debit balance in your account of Rs 10,000 (Rupees Ten thousand only) as on 31st August 2013.

A negative confirmation is a letter addressed to a debtor, requesting a response if the debtor disagrees with the stated account balance. Confirmation occurs if the third party doesn't respond, or when a correction is submitted by the third party.

A Bank confirmation letter is the letter prepared by auditees as the request by the auditor during the audit process to confirm the balance, transactions, and ownership of the bank account. This letter is prepared by the auditee and sent to the bank directly by the auditor. It should not send by the auditee.

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Customer Balance Confirmation Letter Sample. With reference to the above, in our Books of Accounts your Account shows a Credit balance of Rs. ____ as on 31st March 20_.You can check the accuracy of your accounts payable to vendors and your accounts receivable from customers using balance confirmations. Auditors also use positive confirmation letters to verify accounts payable and accounts receivable or companies.

Balance Confirmation Letter For Debtors

Description Balance Confirmation Letter

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What is a debtor confirmation?

How do auditors confirm their client's bank balance?

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