Is an Increase in Your Bank Statement a Debit or a Credit?

When you make a deposit in your bank account, the bank refers to it as a credit. Therefore, increases on your deposit account statement are always due to credits. Your bank balance decreases whenever you make a withdrawal because your bank debits your account. Consequently, payment cards that enable you to make withdrawals are called debit cards.

Debit And Credit

At the end of the bank business day, tellers must balance their cash drawers and send all paperwork related to the day's transactions to the proof department. People who work in the proof department receive transactions from bank branches as well as requests for payment from other banks and businesses. The proof department must balance all of the transactions by ensuring that every debit has an offsetting credit. People receiving money get the credit while people paying money are debited.


When you make a cash deposit, the teller uses a cash-in ticket as a substitute for your actual cash and sends that form along with your deposit slip to the proof department. If you cash a check the teller prints a cash-out ticket and puts it alongside the actual check so that the proof department know how much cash you received. Deposit slips and cash-out tickets are credits because you receive money or funds are credited to your account. Cash-in tickets and checks are debits because you physically give money to the bank.

Credit Card

Credit card statements are different than deposit account statements because in a credit card relationship, you are borrowing money from the bank whereas in a deposit relationship you are lending money to the bank. When you make a payment on your credit card account, it credits to your account but decreases your balance. If you do not make a payment, the bank debits your credit card for a late fee, which causes your balance to increase.

Other Considerations

In order to make your bank statement easier to read, your bank does not list all debits as debits and credits as credits. Transactions are broken down in types such as ATM withdrawals, check withdrawals or deposits. The only debits that usually show up as debits are debit card point-of-sale withdrawals or bank fees. The only transactions that usually show up as credits are interest payments or fee reversals.