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Some people check their bank account balances multiple times a day, while others can easily go most of the year without even logging into their account. If you’re wondering how often you should check your bank account balance, the answer falls somewhere in between.
In fact, it’s a good idea to review your current account balance quite often, as this is the account you are most likely using to pay your bills. But you may not need to review your savings account also often balances.
Keep an eye on your checking account
Your checking account is where you should keep the money you need to pay your bills, whether they are essential or not. You can pay these bills as debit card transactions, physical checks, electronic checks, or wire transfers from your bank account. You could also have your checking account linked to a service like Venmo. And, you can withdraw money from your checking account at ATMs when you cannot pay by debit card, credit card or application.
Since your checking account is a source of cash that you use so frequently, it’s important to know what your balance looks like at all times. This doesn’t mean that you have to check your balance every time you make a transaction. But it’s a good idea to check your balance every few days. If you are going through a time when you are spending more money than usual, you may want to increase this frequency and check your account balance daily.
Why this need? You might think you have $ 200 left in your checking account at some point with your next paycheck in three days. In that case, you could afford to spend that $ 200 knowing that you don’t have to pay any bills until your paycheck arrives.
But what if you really only have $ 150 in your checking account? In this case, your bank may authorize this transaction to be carried out. But then you could be hit by an expensive overdraft fees. You can avoid this by knowing what your balance looks like.
Also, as a general rule, you don’t want your checking account balance to be too low. Keeping regular track of it is a good bet.
Monitoring your savings account
If your savings account is money that you rarely or never touch, then there is no need to check your balance so often. Granted, if you forget what your balance looks like, you can always log in and check. Likewise, if you need to withdraw savings, it’s a good idea to see how much money you have left.
But generally speaking, most people don’t pay their bills with their savings. And if you are in the same boat, then there is no need to check this balance often. Of course, you could see this balance increase over time as a result of accrued interest. But given the current position of interest rates, you are unlikely to see significant movement week to week or even month to month.
Know what your financial situation looks like
Regardless of your age, income, or goals, it’s a good idea to get a feel for the state of your finances. It means knowing how much money you have not only in the bank, but in your brokerage account and retirement plan, too. Having these numbers could guide you to wise decisions that only help your financial situation improve.
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