What is a Savings Account Statement?

When you open a savings account, you will often receive your first account statement. This is proof of the deposit that you made. This receipt isn’t the only statement you’ll get. Depending on the type of savings account you have, your bank will continue to send you statements monthly or another specified period, such as quarterly.

Savings Account Statement Overview

The purpose of your statement is to supply you with an accurate record of all the activity in your account during the period that the statement covers. Even when your bank creates your statement monthly, your statement doesn’t always follow a calendar month. However, your statement always lists the dates covered by the entries you’ll find on it.

Business Insider notes that if you opened the account on a date other than the first day of the month, the bank might use that date as the beginning of a month for your statement period. Since some months also have fewer days, your statement period could also include dates that fall within two different months. After you receive a few account statements, you’ll become familiar with the start and cutoff dates for your account.

Savings Account Activity 

To prepare your savings account statement, your bank records and tracks every transaction that affects your account balance. Banks organize your activity into two categories, deposits and withdrawals. First, the bank posts these transactions to your savings account. Then your bank reconciles them to calculate your new account balance on the ending date of your statement.

Your account statement might contain a summary of these categories and detail of each transaction by date or only the detail.

Savings Account Deposits 

Each cash or check deposit that you make into your account counts toward your balance. However, checks might not clear and post to your account on the day that you make your deposit. When this happens, the amount of the check might not be added to your statement balance until it clears.

Savings accounts often earn interest on the balance. When the bank calculates the interest due on your account, the bank posts it to your account as a deposit, according to Forbes Advisor. Normally, your statement detail will identify this as a bank deposit, not a consumer deposit.

Savings Account Withdrawals

If you take money out of your savings account, it shows on your account as a withdrawal. Many banks provide receipts that include your balance when you make a withdrawal. However, this balance might not include pending transactions. If your savings account comes with a debit card that you can use at an ATM or online, some transactions that you make might not post to your account immediately.

Savings accounts sometimes incur fees. Some banks limit free withdrawals during your statement period. When you make more withdrawals than allowed, you will find service fees in the withdrawal category of your statement.

If a check that you deposit into your savings account is returned, your statement will also show a withdrawal of the amount of the check. When your savings account requires a minimum balance, some banks charge fees if you let your balance fall below the minimum. You’ll continue to see the fees on your statement until you correct the issue or close your account.

Account Statement Reconciliation 

Keep the receipts that you get at the time of your deposits and withdrawals so you can track your balance. To reconcile your account, first find your balance from your last statement. Add any deposits that you and your bank made and then subtract all the bank’s withdrawals and yours. The new balance on your account statement should match your calculation.