BANK STATEMENTS

BOOKKEEPING SEMESTER III, CA

NAME UIDS ROLL NO.

Mahek Jalan 19BA224 209

Jayati Purohit 19BA230 210

Jaini Savla 19BA232 211

Shloka Chabria 19BA240 233

Introduction
● A bank statement is a document (also known as an account statement) that summarizes all the
financial transactions occurring in a given period for each bank account owned by a person or business
with a financial institution.
● Bank Statements help the account holders keep a track of their transactions and their savings or current
account.
● A bank statement basically summarizes the following:
○ The beginning and ending balances of the account
○ Deposits in the form of income, cash deposits, etc.
○ Interest earned on the account
○ Service fees and penalties charged against the account
○ Funds withdrawn from the account in the form of cash, cheques, etc.
● The financial institution prepares such statements that are numbered and indicates the period covered
by the statement.
● Bank statements include bank account information, such as account number and a detailed list of
deposits and withdrawals, relevant information for the account type, such as how much is payable by a
specific date.
Examples of Bank Statement
How bank statements work
A bank issues a bank statement to an account holder that shows the detailed activity in
the account. It allows the account holder to see all the transactions processed on their
account. Banks usually send monthly statements to an account holder on a set date.
The transactions the statement generally appear in chronological order.

Many banks offer account holders the option of receiving paper statements or using
paperless, electronic ones, usually delivered via email. An electronic version of a bank
statement is known as an electronic statement or e-statement and allows account
holders to access their statements online where they can download or print it.Banks
may also email the statement as an attachment, or allow you to print a copy at an
Automatic Teller Machine (ATM).
Requirements
An account statement usually contains three parts: Account holder Details, Account
Details, Transaction history. Account holder details are mentioned at the top of the
account statement. It includes Name, registered mobile number and residential
address.

After account holder details, account summary is presented that holds the account
number, home address, account description (type of account) and other details of the
depositor.

Transaction detail part shows all the transactions recorded with date, amount, and the
description of the payee or payer. A customer has the option to choose the statement
period for which he/she wants the bank statement.
 Advantages
1. Financial planning

2. Budgeting

3. Track your savings

4. Understand monthly income and spending

5. Reconciliation and identification of fraudulent activities

6. Creditworthiness

7. Know how much you have

8. Keep records.