Business Entrepreneur Stories

GET AN ACCOUNT ANALYSIS STATEMENT.

How do you know how much money (bankers refer to this as ‘balances’) to
leave in your checking account to pay for bank”s services? That”s a
question that more business owners should be asking themselves.

(1) First, get a price list which shows how much your bank charges for
services like account maintenance, checks deposited, checks paid, stop
payments and wire transfers.

(2) Ask the bank to send you a monthly ‘Account Analysis Statement.’ The
analysis statement contains the average balance levels for the month –
both the ledger and the available balance — as well as a listing of
services used, their transaction volumes and cost. This statement should
be obtained in addition to the regular monthly bank statement.

(3) Look at the account analysis to see whether you are overcompensating
the bank. Then pull out any excess funds and invest them in a
high-yielding money market mutual fund, for example.

A word of advice: Smaller banks may not know what you are talking about
when you ask for an account analysis. Larger banks often offer such a
statement, but you have to ask for it. And don”t let them charge you for
this kind of statement since it is only an invoice.

This entry was posted on Monday, April 7th, 2008 at 10:33 pm and is filed under Business Entrepreneurs. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.