What Is a Bank Statement?

A bank statement reflects an account's monthly transactions and is sent by a bank in paper𒊎 or di♚gital form to the account holder after the closing date for the period covered.

Bank statements contain checking and savings account information, such as account numbers, a deta🧸iled list of deposits and withdrawals, and opening and closing balances. 

How a Bank Statement Works

A bank issues a bank statement to an account holder that shows the detailed activity in the account. It a𒀰llows the account holder to see all the transactions processed, usually chronologically.

Mosꦯt banks send statements to an account holder either monthly or quarterly.

Banks and credit unions aren't required to send you a monthly statement unless you made at least one electronic fund transfer that month. Electronic fund transfers include:

• ATM and debit card transactions
• Payments made with an online bill payment feature
• Direct deposits
• Any recurring automatic deduction payments
  

Your bank can usually change the bank account statement cycle date at any time.

Types of Bank Statements

Many banks offer account holders the option of receiving papeඣr statements 🅺by U.S. mail or electronic statements, usually via email.

Paper Bank Statements

Even with the convenience, value, and accessibility of electronic statements, paper statements aren't likely to go away anytime soon.

However, receiving paper bank s🍃tatements may involve a fee to a customer due to the labor and supplies cost of printing and mailing the statement.

Banks usually charge a few dollars per statement for this service, which can add up per year if sent monthly. Credit unions may🅷 charge less. Fees will vary by i꧅nstitution.

📖Paper statement fees may be waived for people over a certain 🌊age, such as 65, or minors under a certain age.

Electronic Bank Statement

Banks give🅘 account holders access to their statements online at their websites. From there, statements can be downloaded or possibly printed.

Some banks email statements to customers as an attachment. Bank automatic teller machines (ATMs) may be capable of printing a summarized version of a b💧ank statement, called a transaction history. 

Many recipients of e-statements print out their statements at home, preferring to keep a hardcopy record of their financial activity.

Digital statements are typically free. By opting into digital statements, you may be able to waive a monthly account maintenance fee.

Benefits of a Bank Statement 

For account holders, bank statement🎃s are a great way to keep track of their finances, identify errors, and recognize spending habits.

For security purposes, you should verify your bank accounts regularly—daily, weekly, or monthly—to ensure th🥀at your records match the bank’s. This he💙lps reduce overdraft fees, errors, and fraud.

Account holders can check for discrepancies whilꦺe reconciling their account records (such as a checkbook transaction register) with the bank statement.

Discrepancies found must be reported to the bank promptly. Account holders may have as little as 30 days to dispute errors, but timelines vary by account and state.

You should keep your monthly statements𓆏 for at least one year.

Components of a Bank Statement 

A bank statement includes:

• A bank's address and contact information
• Account name and number (which may be partially obscured)
• The statement closing date
• The total number of days in the statement period, or the period's beginning and ending dates
• Beginning and ending balances

Details of each transaction—notably the amount, date, and payee—will also be included:

• Deposits
• Withdrawals
• Checks paid
• Any fees or service charges
• Interest earned on balances
• The dollar amount of interest earned during the statement period

For example, for the period Septꦛ. 1 through Sept. 30, a bank statement ma﷽y show a non-interest-bearing checking account with:

• A beginning balance: $1,050
• Total deposits: $3,000
• Total withdrawals: $1,950
• Service charges: $0
• An ending balance of $2,100
  

The Bottom Line

Bank statements allow you to ensure that your account transactions and deposits align with 𝐆your own record-keeping.

By reviewing your bank statements, you may find that you're paying for subscriptions you don't need or want, or that you were charged twice for the same purchase.

You can also review how much interest you've earned as a percentage and a dollar amount. This may prompt you to look for a higher-yielding checking or savings account.