The bank statement is the most important fiscal document for controlling financial transactions. Detailed detail of all the exits and entry of resources of the current account or savings of each account holder, it is through the bank statement that the clients of the banks can manage their resources or observe the presence of any undue debts.
An agency linked to the State that makes up the National Financial System
According to the Central Bank, an agency linked to the State that makes up the National Financial System (SFN) and which has, among other functions, to supervise the performance of financial institutions, banks are required to provide at least one statement per month to their clients, without any type of charge for offering the service, which highlights the importance of this tool to control the financial health of customers. But do you know for sure how to interpret the records printed on your bank statement? Know the abbreviations and what each one means.
Institutions insert a number of abbreviations in these documents
Space is limited in these vouchers, which makes institutions insert a number of abbreviations in these documents. Although each bank has its own way of posting the values, there are some standardizations that should be understood by all users.
One of them is that next to each value there are the distinctions “C” (credit) or “D” (debit, that is, values that were discounted from your account). It is important to be aware that in these amounts, interest will be applied that multiply your negative balance).
Basically, in each line, you will find, on the left, the date of occurrence, in the center, the description of the movement, and then the values and the “C” or “D” notation.
Pay close attention here
There are also other notations, such as CCF (Checking for Issuers of Checks without Funds) and Checked Check (check that was presented after the limitation period, which is 6 months after the deadline for submission). Another interesting detail is that, in general, the banks display, at the end of the document, two balances. Pay close attention here, since the largest of them usually comes highlighted and includes the limit of the account (that is, its balance plus the limit of the overdraft, the one with interest of more than 100% per year). Be careful with reading your extracts so do not detract from your financial health.