Order bank rules

Once you have created two or more bank rules, you can set the order to make sure that they run in the right sequence. Bank rules should be ordered so that more restrictive rules run first.

Change the order of bank rules

  1. In the Accounts menu, select Bank Accounts.

  2. Click Bank Rules.

    Image showing portion of Bank Accounts screen highlight Bank Rules button

  3. Select a tab (Spend Money Rules, Receive Money Rules, or Transfer Rules) to find the rules you want to reorder.

  4. Click and drag the rule or rules into the new order.

    Image showing reordering of two bank rules

Select the checkbox next to the rules to move two or more rules at the same time.

Run a more restrictive rule first

When applying bank rules, Xero will match statement lines in the order they are listed in the Bank Rules screen. To ensure the most appropriate rule is being applied, you'll want to have a rule that is restrictive with specific conditions and values ordered near the top of the list.

For example, you have two bank rules set up that both select the Payee field for 'ABC Stationery'. The first rule simply allocates all payments where ABC Stationery is the Payee to Office Expenses.

Image of setting the most restrictive bank rule first.

The more restrictive rule also checks to see if the Description field contains the word 'print'. If the payee is ABC Stationery and 'print' is in the description, Xero will then allocate the payment to the Printing & Stationery account.

Image of setting a less restrictive bank rule second.

If the rule that only checks the Payee and not the Description is listed first, then all purchases from ABC Stationery, including those for printing, will be allocated to the Office Expenses account.

Therefore, you should set the order so that the more restrictive rule that checks the Description is listed first.

Image of reordering a bank rule.

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