Include an inactive bank account in the close review until the company establishes its actual status and balance. No recent trading activity does not prove that the account is closed, that its balance is zero or that no bank charges have arisen.

Accounting records, calculator and glasses on a desk
Illustrative photograph by Cht Gsml.

Establish the account's status

Record the bank, company account reference, ledger account and last statement available. Use the company's authorised banking route to obtain current statements or other appropriate bank evidence. Keep account identifiers and access details in restricted records.

Ask who is responsible for monitoring the account and whether a closure was requested or completed. A letter asking the bank to close an account is different from confirmation that it has closed.

Reconcile overlooked movements

For example, an unused account has a small balance and recurring charges while the close checklist covers only the main operating account. Trace the charges and closing balance to the ledger instead of assuming inactivity removes the need for reconciliation.

Identify transfers to or from other company accounts and match both sides. Ask the accountant to assess unexplained differences, interest, fees and foreign-currency movements using the actual evidence.

Keep closure and accounting separate

If the company decides to close the account, follow its authorised banking process. Preserve the bank's actual outcome and any final settlement evidence. Removing an account from a spreadsheet does not end the banking relationship.

Update the close checklist after the review, with the responsible person and evidence required for future periods. Retain historical statements and accepted reconciliations under the company's recordkeeping arrangements. Leave unresolved status or balance questions open until suitable evidence supports the conclusion.

Related practical guidance

For the surrounding records and responsibilities, see bookkeeping basics, company records to keep, bookkeeping and accounting.

Official guidance: the relevant official guidance.

Help with your company records

For accounting, bookkeeping and related compliance support, contact Raffles Corporate Services at [email protected] or WhatsApp +65 8501 7133. Tell us which records or process need attention so we can discuss the relevant next steps.