A bank feed is when a cash receipt or cash spend is pushed by your financial institution into your bank account in Xero. Most financial institutions do this overnight. The Xero user will reconcile these entries against bills or invoices manually. We use a real-time bank feed for deposits and also for payments where the user did not specify which accounting code the bill should be allocated to in Xero.

Real-time reconciliation is a proprietary feature of our product. Through control of the bills and Business accounts in Xero, we reconcile all expenses and their bills in real-time, so the Xero user does not need to intervene manually. We can only do this if the user specifies which accounting code the bill needs to go to in Xero.