Foreign Currency Journal | AccountingWEB

Foreign Currency Journal

I am hoping some of you accountants can explain to me the postings necessary to move funds between two banks accounts in different currencies.

Just a good old fashioned T - Balance type thing.

The computer system I have does not have an Interbank transfer facility such as Quickbooks and from memory, I cannot post directly between bank accounts. I have to use an intermediary.

For example I have a bank account in Sterling and one in Dollars.(Even though it is just an example I think it is best to avoid Euros :-))

I want to move £ 100 to the Dollar account and this will become $150. What are the postings that keep this all in balance? There isn't an exchange / gain or loss that I can see and I am ignoring charges etc.


Thank you for any assistance.


Paul Kelly


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Richard Willis |
Richard Willis's picture

Follow Up / Clarification

paul.k2 |
paul.k2's picture

Why an intermediary account??

3569787 |
3569787's picture

IF you have an FX facility

Richard Willis |
Richard Willis's picture