How to Record Trade Finance Custody Fees
Records fees charged by financial institutions for holding and managing physical trade documents or titles.
| Account Name | Type | Debit ($) | Credit ($) |
|---|---|---|---|
| Trade Finance Fees - Custody | Debit | 150.00 | - |
| Cash at Bank | Credit | - | 150.00 |
💡 Accountant's Note
Banks often charge custody fees for managing Warehouse Warrants, Bills of Lading, or other documents of title during a trade finance cycle.
Practitioner & Systems Framework
💻 ERP Architecture
Record as a bank service charge within the trade finance module or general ledger.
⚠️ Audit Flags
Recurring bank charges in trade-specific accounts that lack supporting invoices.
📄 Required Documentation
Bank debit advice or monthly trade service statement.
Automate this entry with the JEH Accounting Suite
Stop doing manual entry. Our VBA-powered ERP automatically generates your ledgers, Trial Balance, and Financial Statements.
No Subscriptions. Own your data.
Expert Analysis by Qusai Ahmad
General Accountant Supervisor & IFRS Specialist
Specialized in SAP GUI automation and Middle Eastern tax compliance. Building digital tools for the next generation of finance leaders.
Related Journal Entries
Supply Chain Finance & Trade Finance
Factoring Without Recourse — True Sale of Receivables (Derecognition Under ASC 860)
Supply Chain Finance & Trade Finance
Factoring With Recourse — Secured Borrowing (Receivables Remain on Balance Sheet)
Supply Chain Finance & Trade Finance
Reverse Factoring / Supplier Finance Program — Buyer's Accounting (ASU 2022-04 Disclosures)
Discussion & Community Questions
Loading comments...