TMS Solution: Analyzing Historical Bank Charges and Interest Costs with TMS

Gain Control Over Bank Charges and Interest Costs with Automated Insights using TMS

Managing multiple bank accounts across different banks can be challenging, especially for understaffed treasury teams. Without proper visibility, companies risk overpaying for banking services and missing out on negotiation opportunities.

This article showcases how we empowered a client to achieve full transparency over their bank charges and interest costs through a custom solution built within their Treasury Management System (TMS). By automating the extraction, analysis, and reporting of bank fee data, we provided the client with actionable insights, improved efficiency, and stronger negotiation capabilities. Discover how tailored technology can put you in control of your banking costs.

The Challenge:

The client managed numerous bank accounts but lacked the resources to monitor the volume of transactions or the amount of interest paid. This created a risk of overpaying for banking services without being aware.

Additionally, the company was unable to verify whether the bank's charges were accurate, leaving them vulnerable to potential errors or overcharges. This lack of transparency also resulted in missed opportunities, as the client couldn’t negotiate effectively with their banks due to an incomplete understanding of transaction volumes and service costs.

Compounding the issue, the client wanted a comprehensive overview of their banking costs over the past years. However, because no actions had been taken to track these expenses previously, there was no historical data readily available for analysis.

The Solution

We developed a custom solution leveraging the existing bank statement data stored in the client’s TMS database. Using tailored datasources, we extracted the exact information needed, identifying and consolidating bank charge details from the data.

The result was a comprehensive overview of bank charges, broken down by bank account, bank branch, institution, and country. This automated process ensured stakeholders received a detailed monthly report directly via email from the TMS, reducing manual effort and increasing transparency.

Additionally, this solution enabled retrospective analysis of historical bank charges, providing insights over previous years without requiring any special setup from the bank. The only prerequisite was the availability of existing bank statements already stored in the TMS database.

Sample overview of bank charges per bank account

The Result:

The client gained the ability to generate detailed bank charge reports on a monthly basis, ensuring regular validation of charges across all bank accounts. The solution also supported more frequent reporting, such as weekly or even daily, if needed.

During discussions with their banks, the client could easily pull historical bank charge reports for extended periods, enabling informed negotiations and better management of banking costs.

This newfound transparency and oversight demonstrated that the treasury team was in full control of their processes and financial operations.

Why This Matters:

Many companies struggle with limited visibility into their bank charges because manual analysis is often too time-consuming. However, with tailored data sources within the TMS, it’s possible to automate this process, allowing the system to handle the workload effortlessly—at the touch of a button and as often as needed.

We specialize in customizing Treasury Management Systems (TMS) to fit your unique requirements, ensuring your processes operate with 100% efficiency and precision.

Gain full control over your bank charges today. Let us design a solution tailored for your company. Contact us now!

Other solutions:

Export GL Journals from Treasury Management System to ERP S4 Hana

This article is written by Peter Quarré, who plays a key role in designing, building, and implementing solutions. He is ready to assist you with your challenges and help optimize your processes.