What Is a Bank Statement?
5 Min Read | Published: March 28, 2025
This article contains general information and is not intended to provide information that is specific to American Express products and services. Similar products and services offered by different companies will have different features and you should always read about product details before acquiring any financial product.
A bank statement shows your account activity and can help you track spending. Learn how to use your bank statement to stay on top of money management.
At-A-Glance
- A bank statement is a financial document that details your recent checking account activity.
- You can quickly access your bank statement by logging into online banking or accessing your bank account using a mobile app.
- The information on your bank statement can help you review your overall financial health and find opportunities to avoid fees and correct errors.
You may already understand the benefits of opening a checking account and its role in your overall financial management. Your checking account is where your day-to-day financial life happens. Yet, with so much activity each month, it can be hard to keep up with exactly what’s going on.
This is where your bank statement helps deliver a succinct summary. You might think the bank statement is a relic of the past, but it’s actually one of the most important documents to review when you build your monthly budget. It can also make managing a joint bank account easier as well, since it provides a level of transparency and accountability into what is being spent.
In this article, we’ll explore what a bank statement is, what it tells you, and why it’s important to make reviewing your bank statements part of regular financial planning.
What Is a Bank Statement?
A bank statement is a financial document that outlines your account activity over a specific period of time. Many banks publish monthly statements and also offer an annual statement at the end of the year. There are several things you can expect to see in a bank statement, including these key components:
Account Summary
Your account summary includes personal information like your name, address, and account number.
Balance Summary
The balance summary section gives you details on the beginning balance, deposits, withdrawals, fees, and your ending balance.
Transactions Summary
The statement lists each transaction during the statement period line by line, indicating whether those transactions were credits or debits and the manner in which the transaction occurred, whether it was an ATM cash withdrawal, debit card transaction, or electronic transfer.
Fee Summary
If you incurred any checking account fees during the statement period, the bank may include an itemized list of fees.
Sample Bank Statement
| Account Summary | Name: John Smith Address: 123 Cardholder Way Account Number: 000111222333 |
|---|---|
| Balance Summary | Beginning Balance: $1,524.36 Deposits: +$2,250 Withdrawals: -$1,000 Fees: $25 Ending Balance: $2,749.36 |
| Transactions Summary | Credits: +$2,050 (employer paycheck ACH) +$200 (check deposit at ATM) Debits: -$50 (ATM cash withdrawal) -$450 (ACH transfer to savings) -$500 (Credit card payment) |
| Fee Summary | Fees: $25 (returned check fee) |
Why Should You Review Bank Statements?
Reviewing your bank statements is an important step in balancing your checkbook. A regular review of bank statements can help you to:
- Know how much money is in your checking account at a given time.
- Avoid overdraft or bounced check fees by ensuring there are sufficient funds in the account.
- Track expenses to keep an eye on potential fraudulent charges.
- Quickly find errors and correct them if, for example, a vendor you returned an item to didn’t issue a refund or the bank charged a fee in error.
How Do You Get a Bank Statement?
Bank statements used to be mailed to your home each month. While you may still be able to access paper statements by mail with some banks, there are far simpler and faster ways to retrieve your statement, including:
Online Banking
Many banks now provide access to an online bank account whenever you open a checking account. Look for an option called “Statements” in your online bank account, then choose the account for which you want a statement and the applicable month or year.
Mobile Banking Apps
In addition to an online account, your bank may offer a mobile app that can help you easily access your statement from your phone. Look for a section within the app that has Statements or Reports and use available filters to drill down to the time period for which you want the information.
Brick-and-Mortar Banks
If your bank has a local brick-and-mortar location, you may be able to stop in and ask a teller for a copy of your bank statement. If you’re not located near a physical location, call your bank to ask if they can mail a paper statement instead.
How Long Should You Keep a Bank Statement?
A good rule of thumb is to keep bank statements for at least one year, but if you use your bank statement at tax time, you may want to keep it for seven years in case the IRS has questions.1 Other rules apply for how long to keep financial records, especially those documents that contain sensitive personal information or tax-related information.
Did you know?
A regular review of your bank statements can also alert you to potential identity theft. An irregular withdrawal from your bank account is a sign your identity may have been stolen. If you see something strange in your statement, it’s critical that you immediately alert your bank.
Frequently Asked Questions
Financial institutions might require proof of funds for certain large purchases, like buying a home or car. You may be able to use your bank statement as proof of available funds since the money in your checking account is liquid and easy to access.
A bank statement may be used as valid proof of address if you need to provide it for certain tasks like registering to vote, applying for a loan, or getting a new driver’s license.
You may be able to get a bank statement online without going to the bank. If your statement isn’t available online or you don’t have online banking access, contact your bank via phone to request a statement by mail.
The Takeaway
A bank statement is a document that can help you keep tabs on the financial health of your checking account. Understanding your starting and ending balance and monthly transactions can help you avoid fees and manage the amount of money that’s in your account to pay bills. It may also alert you to situations where you have too much money sitting in your checking account and could benefit from shifting some of the balance to a high-yield savings account instead.
1 “What is a Bank Statement,” Experian
Brooke Joly is a writer on a mission to unravel the mysteries of personal finance and make them accessible to the everyday reader. When she’s not behind the keyboard, you can find her enjoying the outdoors in Charleston, SC.
All Credit Intel content is written by freelance authors and commissioned and paid for by American Express.
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