Vendor Statement

What is a vendor statement?

A vendor statement is a summary from a supplier showing your account activity and balance owed. It lists invoices, payments, credits, and the current balance due. Comparing vendor statements to your accounts payable records catches discrepancies before they become problems. Regular reconciliation ensures you are not missing invoices or paying amounts the vendor does not have on record.

Reconciling vendor statements

Match each invoice on the vendor statement to your records. Verify payment amounts and dates. Investigate discrepancies. Common causes include payments in transit, invoices you never received, credits not recorded by one party, or timing differences. Contact the vendor to resolve unmatched items. Do not simply pay the statement balance without reconciliation.

Requesting statements regularly

For major vendors, request monthly statements even if they do not send them automatically. This proactive approach catches problems early. Statement reconciliation is especially valuable for vendors with high volume or complex billing. The time invested prevents overpayments, missed discounts, and surprise balance disputes.