Cash News
If you want to know what’s going on with your bank account, take a look at your bank statements. These documents give you a full rundown of all the activity in your bank account each month.
You can receive your bank statements by mail or electronically, and it’s worth looking at them each month to keep tabs on what’s happening with your money.
What is a bank statement?
A bank statement is a document that shows your bank account details and all the activity that’s taken place in your account during a specific time period — usually a month.
Banks and credit unions must provide you with a monthly bank statement if your or had at least one account transaction during the month. But if your activity is less frequent, they’ll provide a quarterly statement.
By default, banks typically send your statements by mail, but you can opt to go “paperless.” If you do, you can find your eStatements online when you log into your bank account.
Should you get paperless bank statements?
A paperless bank statement, or eStatement, is a PDF version of your paper bank statement. Here are a few great reasons to choose paperless over receiving them in the mail:
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More secure: You don’t have to worry about your statements being lost in the mail, intercepted by an identity thief, being read or stolen by your bank’s printing vendor, or storing and disposing of the documents safely.
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Avoid fees: Some banks charge fees up to $5 per printed statement, or $60 a year, but digital statements are free.
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Better for the environment: In 2019, alone mailed 551 million paper statements to customers, which amounted to 7.915 metric tons of paper. When you switch to eStatements, you help reduce paper waste and use less of the resources needed for paper production and transportation.
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Faster receipt: Electronic statements are available immediately, and you don’t have to wait for them to arrive by mail.
One downside to going paperless is that your electronic statements are only available for a limited time period, sometimes 12, 24, or 36 months, depending on the bank. For that reason, you might consider downloading them or, if needed, printing copies.
Reasons to read your bank statement
The only way to thoroughly monitor your bank account is to view your account activity on a regular basis or read all of your bank statements. By reviewing this information, you can find and address serious account issues. For example:
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Unauthorized transactions: If you find a , you have 60 days after receiving the statement to notify your bank and avoid having to cover the full cost.
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Errors: You can look for incorrect transactions and contact the vendor or work with the bank to correct them.
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Recurring charges: In a 2022 survey, consumers underestimated their recurring monthly subscription expenses by $133, or . Regular account reviews help you save money when you identify and cancel charges for services you don’t use.
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Account fees: Keep an eye on various , such as monthly maintenance fees, , , and .
Bank statement example
Reviewing your bank statements each month is an important habit. But if you’re not familiar with these statements, they may seem overwhelming at first. Here’s an example of a bank statement to familiarize yourself.