How to Create a Bank Statement in English: Step-by-Step Guide

If you’ve ever needed a bank statement for any reason, you know it can be a bit of a hassle. But fear not, because creating your very own bank statement is easier than you might think! In this article, we’ll walk you through the steps of making a bank statement in simple, relaxed English, so you can get what you need with ease.

First things first, it’s important to understand what a bank statement actually is. Essentially, it’s a document that shows all the transactions that have gone in and out of your bank account during a certain period of time. These transactions include things like deposits, withdrawals, and transfers. Bank statements are most commonly used for accounting purposes, but they can also be helpful for budgeting or keeping track of your spending habits. Now, let’s get started on creating your very own bank statement!

1. Gather Necessary Information

Gather Necessary Information to Create a Bank Statement

Before creating a bank statement, it is essential to gather all the necessary information. You must have details about your bank account, such as account number, the name of the bank, branch code, account type, and the period for which you are preparing the statement. Additionally, for creating a bank statement for a business, you need details of transactions made during the period, such as receipts, invoices, and cash transactions.

2. Choose a Template

Choose a Template for Your Bank Statement

After you have collected all the required information, you need to choose a template to create your bank statement. A template will give your statement a professional look that is easy to read. You can choose from pre-built templates or create your own from scratch using Microsoft Excel or Word. Templates help you to include all necessary sections, including account opening and closing balances, transactions, and summary.

3. Add your Details

Add Your Personal Details to Your Bank Statement

While creating a bank statement, you must add your personal details such as your name, address, account number, and any other relevant information about the account. This information is necessary to ensure the statement is legitimate.

4. Include Account Details

Include Account Details in Your Bank Statement

The next step is to add the account details section, including the bank’s name and address, branch code, account number, and account type. This section must be correct as even small errors can lead to complications.

5. Create Transaction Summary

Create a Transaction Summary for Your Bank Statement

The transaction summary section shows a summary of all inflows and outflows of funds during the period. It should include all transactions made through checks, withdrawals, deposits, ATM usage, and debit card payments. The summary helps to verify the accuracy of all transactions.

6. Add Details for Deposits

Add Deposits Details in Your Bank Statement

The deposit section should include all details about deposits, such as the date, amount, deposit method, and source of the deposit. This section is necessary for determining the total amount of deposits during the period.

7. Add Details for Withdrawals

Add Withdrawals Details in Your Bank Statement

Include all withdrawal details in this section, such as the date, amount, mode of withdrawal, and the purpose of the withdrawal. The withdrawal section is essential as it helps determine the total amount of withdrawals during the period.

8. Include Checks Details

Include Checks Details in Your Bank Statement

List all the checks you issued during the period. Each check should have its number, date, payee, amount, and whether it cleared or bounced. This information helps to verify all transactions during the period.

9. Add Interest Details

Add Interest Details in Your Bank Statement

If you earned any interest on your account, you should include it in the statement. The interest section is necessary as it helps determine the total amount of interest earned during the period.

10. Review and Confirm

Review and Confirm Your Bank Statement

Once you have created your bank statement, it is essential to double-check all details for accuracy. Carefully review the entire statement to ensure that there are no errors or omissions. Once you are confident, confirm that the statement is legitimate and ready to use.

Section 2: Tips for Making an Accurate Bank Statement

Making a bank statement can seem like a daunting task, especially if you’ve never done it before. However, with the right tools and techniques, you can create an accurate and professional-looking bank statement in no time. In this section, we’ll share some useful tips to help you make an accurate bank statement that reflects your financial profile.

1. Gather All Required Information

The first step to making an accurate bank statement is to gather all the necessary information. This includes your bank account details, transaction history, and any other important financial data. Ensure that you have access to all your bank statements, receipts, and invoices that will help you track your financial activity.

2. Review Your Account Balance

Before you begin creating your bank statement, it’s important to review your account balance to ensure that everything is up-to-date. You should also ensure that your account balance matches the bank balance shown in your statement. This exercise will help identify any discrepancies that may arise during the bank statement preparation process.

3. Create a Chart of Accounts

A chart of accounts is a critical tool when creating a bank statement. It helps you categorize all your financial transactions into specific accounts, providing clarity and organization in your statement. A well-documented chart of accounts will make your bank statement look more professional.

4. Reconcile Your Bank Statement Regularly

To avoid errors and inaccuracies in your bank statement, it’s crucial to reconcile it regularly. Reconciling ensures that your bank statement matches your actual financial activity, making it easier to identify any discrepancies. It’s advisable to reconcile your bank statement at least once a month.

5. Document Your Financial Activity Correctly

When preparing your bank statement, it’s essential to document your financial activity correctly. Ensure that all your transactions are recorded accurately, including the date, description, and amount. Any errors in your documentation can lead to inconsistencies in your bank statement.

6. Keep Accurate Records of All Deposits and Withdrawals

Keep accurate records of all your deposits and withdrawals and ensure that they’re reflected in your bank statement. Record all transactions, including those made through automatic payments, online banking, or other sources. Keeping accurate records makes it easier to reconcile your bank statement regularly.

7. Review Your Bank Statement for Any Mistakes

After creating your bank statement, it’s essential to review it for any mistakes or discrepancies. Review your statement carefully to ensure that all transactions are accurately reflected, and there are no unrecorded transactions. Any mistakes should be corrected promptly.

8. Use Accounting Software for Easy Bank Statement Creation

Accounting software can be useful when creating a bank statement, especially if you have a lot of financial activity. These software programs allow you to automate the bank statement creation process, making it faster and easier. Many of them have templates that you can use to create a professional-looking bank statement.

9. Keep All Financial Records Organized and Secure

Keep all your financial records organized and secure to avoid losing important data. Store your records in a safe and secure location, such as a fireproof cabinet or a cloud-based storage system. This will make it easier to access your financial records whenever you need them.

10. Consult a Professional Accountant for Help

If you’re having difficulty making an accurate bank statement, it’s advisable to consult a professional accountant for help. An accountant can review your financial records, advise you on the necessary steps to take, and help you create a professional-looking bank statement.

What Information Should be Included in a Bank Statement?

A bank statement is a record of all the transactions that have been made in your bank account during a specific time period. It’s important to know what information is included in a bank statement, so you can understand your financial transactions and make informed decisions about your money. Here are the five key pieces of information you should look for in a bank statement:

1. Account Balance

The account balance is the amount of money that is currently in your bank account. This is the first thing you should look for in your bank statement. Your account balance will reflect all the deposits, withdrawals, and transfers that have been made during the time period covered by the statement. Make sure the account balance matches the amount of money you think you have in your account.

2. Transaction History

The transaction history is a detailed list of all the transactions that have been made in your bank account during the statement period. This includes deposits, withdrawals, transfers, check payments, and ATM transactions. You should review the transaction history carefully to make sure all the transactions are correct and there are no unauthorized transactions that you did not make.

3. Fees and Charges

The bank statement will also include a list of any fees or charges that have been applied to your account during the statement period. This might include monthly account maintenance fees, overdraft fees, ATM fees, or other charges. Make sure you understand what each fee or charge is for and why it was applied to your account.

4. Interest Earned

If you have a savings account or other interest-bearing account, the bank statement will also include information about any interest that has been earned on your account balance during the statement period. This is important to know because it can affect your overall account balance and help you determine how much interest you’re earning on your savings.

5. Account Number and Contact Information

Finally, the bank statement should include your account number, the name of your bank, and contact information for the bank. This information is important if you need to make any changes to your account or if you have questions about your account. Make sure your account number is correct and keep the bank’s contact information handy in case you need to reach out to them for assistance.

In summary, reviewing your bank statement is essential to maintain a healthy financial life. Make it a habit to review your bank statement carefully and regularly to catch any unauthorized activities or inaccuracies that may impact your financial stability. Understanding what information should be included in a bank statement will help you stay informed and in control of your finances.

Thanks for Reading!

Making a bank statement doesn’t have to be stressful. Just follow these simple steps, and you’re good to go. Remember, it’s important to keep track of your finances and know where you stand. And, don’t forget to visit us again for more helpful tips and advice on managing your money. Stay safe, stay financially savvy, and goodbye for now!