How to connect bank account on Xero

beginner 8 min read Updated 2026-03-18

Quick Answer

Connect your bank account to Xero by navigating to the Banking section and selecting Add Bank Account. Choose your bank from the list, enter your credentials, and authorize the connection to automatically import transactions.

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Prerequisites

Active Xero subscription
Bank account login credentials
Administrator access to Xero organization
Bank that supports open banking or direct feeds

Step-by-Step Instructions

Access the Banking section

Log into your Xero account and click on Banking in the main navigation menu. This will take you to the banking overview page where you can manage all your connected accounts.

Make sure you're logged in as an administrator or have appropriate banking permissions to add new accounts.

Add a new bank account

Click the Add Bank Account button, typically located in the top right corner of the Banking page. You'll see options for Connect to your bank or Add account manually. Choose Connect to your bank for automatic transaction importing.

Select your bank

Search for your bank in the search bar or browse through the list of supported banks. Click on your bank's logo or name to select it. Xero supports most major banks through direct feeds or open banking connections.

If your bank isn't listed, you may need to use manual upload or contact Xero support for alternative connection methods.

Enter your banking credentials

You'll be redirected to your bank's secure login page. Enter your username and password as you normally would when accessing online banking. Complete any additional security steps like two-factor authentication if prompted by your bank.

Your credentials are sent directly to your bank and not stored by Xero for security purposes.

Authorize the connection

Your bank will display a consent screen showing what data Xero can access. Review the permissions and click Authorize or Continue to allow Xero to connect to your account. Select which specific accounts you want to connect if given the option.

You can usually control which accounts to share and revoke access anytime through your bank's online banking settings.

Configure account details in Xero

Back in Xero, you'll see your connected account(s). Click Add next to each account you want to import. Set the Account Type (Bank, Credit Card, etc.) and choose the appropriate Xero account from your chart of accounts to map it to.

Create a new account in your chart of accounts if the existing options don't match your bank account type.

Set import preferences

Configure your import settings by specifying how far back you want to import transactions (typically 30-90 days). Choose whether to automatically import new transactions daily. Click Continue or Save to complete the setup.

Start with a shorter import period for your first connection to avoid overwhelming your reconciliation process.

Verify the connection

Return to the Banking page to confirm your account appears in the list with a Connected status. You should see recent transactions beginning to import within a few minutes. The account will show the last sync time and transaction count.

Initial transaction imports can take up to 24 hours depending on your bank's processing time.

Common Issues & Troubleshooting

Bank not appearing in the list

Check if your bank supports open banking or Xero direct feeds. Contact Xero support to request your bank be added, or use the manual upload option with CSV/OFX files from your bank.

Connection failing during authentication

Ensure your banking credentials are correct and your online banking is active. Clear your browser cache and try again. Some banks require you to log into online banking first before attempting the Xero connection.

Transactions not importing automatically

Check the connection status in Banking > Manage Accounts. Click Update to manually sync. If issues persist, disconnect and reconnect the account, or contact your bank about API connectivity.

Duplicate accounts appearing

Go to Settings > Chart of Accounts and archive duplicate accounts that aren't being used. In Banking, ensure you're mapping bank feeds to the correct existing accounts rather than creating new ones.

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