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Reconciliation architectureSafeguarding reconciliation is not one control
Guardexia keeps three comparisons separate: an operational three-way check on customer, ledger and bank totals; CASS 15 Internal (Safeguarding Requirement vs Safeguarding Resource from internal records); and CASS 15 External (internally recorded balances vs third-party statements). Transaction matching supports investigation—it is not the statutory Internal calculation.
Walk through your current process
In a focused walkthrough we map your feeds, which comparisons you treat as operational vs statutory, how breaks are owned, and where maker-checker and evidence sit today. The outcome is a clear map of your process into Guardexia’s three controls—not a sales pitch.
Three comparisons, kept apart
Firms often collapse “safeguarding reconciliation” into a single spreadsheet. In Guardexia the same day’s uploads can feed more than one control, but each control asks a different question and keeps its own record.
What three-way answers
Do the three uploaded legs agree at the reconciliation point? Customer funds, ledger and bank can each diverge for different reasons. Three-way surfaces those variances in one operating record so the firm can see data issues early.
PDF and UI labelling marks this as operational three-way—not Internal or External safeguarding reconciliation.
What Internal and External answer
Internal: is Safeguarding Resource (Items A–D from internal records) sufficient for Safeguarding Requirement (positive client balances + unallocated)?
External: does each internally recorded safeguarding balance agree with the corresponding third-party statement line for that account and currency?
Worked example — Internal shortfall (illustrative)
Figures below match the kind of Internal record Guardexia stores. They are illustrative only. Resource is built from internal ledger evidence; the bank statement is not used as Item A.
| Internal line | Amount (GBP) |
|---|---|
| Total positive client balances | 126,550.00 |
| Unallocated relevant funds | 750.00 |
| Safeguarding Requirement | 127,300.00 |
| Item A — relevant funds in RF accounts (internal ledger) | 125,000.00 |
| Item B — received, not yet in RF accounts | 0.00 |
| Item C — relevant assets | 0.00 |
| Item D — insurance / guarantee | 0.00 |
| Safeguarding Resource | 125,000.00 |
| Difference (resource − requirement) | −2,300.00 shortfall |
Transaction matching is investigation support
Transaction matching connects bank and ledger movements so unmatched items become owned work instead of email threads. It sits beside External and operational three-way when teams need the movement behind a difference.
It is not CASS 15 Internal. It does not produce Safeguarding Requirement, Safeguarding Resource, or Item A–D. Internal continues to use internal books and records only.
How a day typically runs
What the product screens show
Demo workspace screenshots (illustrative figures). Captions state which control you are looking at.
What to verify in a walkthrough
Ask whether each of these is visible as a separate control, not one blended spreadsheet outcome.
| Question | What “good” looks like in Guardexia |
|---|---|
| Are three-way and statutory Internal/External labelled differently? | Yes. Operational three-way is explicitly not Internal or External safeguarding reconciliation. |
| Where does Internal Resource come from? | Internal ledger / books and records. Bank statement balances are not used as Item A. |
| How is External structured? | Per account and per currency against third-party statements; no FX translation on those lines. |
| What is transaction matching for? | Investigating and owning unmatched movements—not calculating Requirement or Resource. |
| Can a break be evidenced? | Owner, explanation, evidence and maker-checker history stay on the relevant run. |
| Dual pools? | Where configured, EMI e-money and payment-services pools can be kept separate on the statutory records. |
Compared with one spreadsheet
A single sheet often mixes bank totals into an “internal” resource figure and treats a balancing total as done. Guardexia keeps operational three-way, Internal Requirement/Resource and External statement comparison as separate records with separate review history.
Compared with a matching engine alone
Matching engines help explain movements. Guardexia still requires the statutory Internal and External forms (and the operational three-way) so matching cannot be mistaken for Resource calculation. For statutory depth see CASS 15 software.
Map your process before you change tooling
A walkthrough covers your current feeds, which comparisons you run today, how breaks are owned, and how those steps land on Guardexia’s operational three-way, Internal and External records. Guardexia supports the workflow; it does not decide regulatory scope, approve methodology or replace your auditor.
Safeguarding reconciliation questions
Is safeguarding reconciliation one control in Guardexia?
No. Guardexia separates operational three-way (customer vs ledger vs bank totals), CASS 15 Internal (Requirement vs Resource from internal records) and CASS 15 External (internally recorded balances vs third-party statements, per account and currency).
Does CASS 15 Internal use bank statement balances for Resource?
No. Internal uses the firm’s internal records and ledgers. Item A and Safeguarding Resource are taken from internal ledger evidence. A bank statement does not replace those figures.
What is operational three-way reconciliation?
It compares customer balance totals, internal ledger totals and bank totals for the day. It is a Guardexia operating / data-integrity control. A clean three-way is not treated as CASS 15 Internal or External completion.
Is transaction matching the statutory Internal reconciliation?
No. Transaction matching helps connect bank and ledger movements when explaining a difference. It does not calculate Safeguarding Requirement or Safeguarding Resource.
How does CASS 15 External work?
External compares internally recorded safeguarding account balances with third-party statements, account by account and currency by currency, without FX translation on those lines.
Does Guardexia replace regulatory advice or a safeguarding auditor?
No. Guardexia supports calculations, records, workflow and evidence. The firm remains responsible for regulatory interpretation, its methodology, submissions and independent audit obligations.
This page provides general product information, not legal, regulatory, accounting or audit advice. Firms should assess the current FCA Handbook, official reporting instructions and their individual permissions. Illustrative figures are from a demo workspace.