Understanding your Bank
Statements
This information is for Undergraduate and Postgraduate students (including International) unless stated
otherwise. For more information about opening bank accounts and charges relating to bank accounts,
please refer to the Banks and Accounts information leaflet.
What is a bank statement?
Your bank statement is a snapshot of your account when the statement was prepared. It shows a
record of all payments in and out of your account over a period of time, with dates and method
of payment. Your statement will show your account balance at a given time and the money you
have available to take out of your account. Payments made in to and out of your account are
often referred to as transactions.
Your bank statement is likely to detail your bank Account Number which is a unique reference
number for your specific bank account. This is an 8-digit number. It will also detail your sort
code which is a 6-digit number in the format as follows: XX-XX-XX. Your Sort Code is a code
used by banks to assist with money transfers between banks. Your sort code is specific to the
bank you have your account with (e.g. Lloyds, Natwest, Barclays etc.) and the branch where you
opened the account. If you have a bank account with a Building Society (e.g. Halifax, Abbey
etc.) then you may also have a Roll Number, which is a reference code containing both letters
and numbers.
Below is an example of a bank statement:
Source: http://www.rbs.co.uk/personal/online-banking/g1/online-statement-guide.ashx (2015)
Reading University Students’ Union
PO Box 230, Whiteknights, Reading, Berkshire, RG6 6AZ
0118 378 4100 | advice@rusu.ac.uk | www.rusu.co.uk
1 – Account - Your account number and type of account e.g. current, savings etc.
2 – Period - The timeframe for which your statement will show transactions on your account.
3 – Date – The date of each transaction made on your account.
4 – Type – The type of transaction that has been made on your account. This is often shown
as an acronym (please see below table for a list of the most common type of acronyms you
might find on your bank statement)
5 – Description -This is the name of the transaction or may display a reference word or
number associated with the transaction.
6 – Paid In – This will show the value of the payment in to your account. Payments in to your
account are often referred to as ‘credited’ to your account.
7 – Paid Out – This will show the value of the payment made from your account. Payments
made from your account are often referred to as ‘debited’ from your account.
8 – Balance – This is a running balance which shows the balance of your account (the money
you have in your account) once a transaction has been processed.
What do the acronyms on my bank statement stand for?
Your bank statement will show all transactions that take place on your account. These are often
shown using acronyms. The table below details the most common acronyms used on bank
statements.
Acronym
What it stands for
What it means
ATM
Automated Teller
(Cash) Machine
A cash dispenser or cash machine transaction
BAC
Bankers Automated
Clearing Services
Bankers Automated Clearing Services is an automated credit
mechanism for electronic processing of financial transactions
e.g. a direct debit
BGC
Bank Giro Credit
Deposit cash or cheque over the branch counter with your
pay in book
CHG
Charge
Fees debited against your account
CHP
Payment by CHAPS
transfer
Electronic transfer for large payments between accounts sent
and received on the same day i.e. mortgage settlement
CHQ
Cheque
A document that orders the payment of money from a bank
account to another person or organisation
Reading University Students’ Union
PO Box 230, Whiteknights, Reading, Berkshire, RG6 6AZ
0118 378 4100 | advice@rusu.ac.uk | www.rusu.co.uk
D/D
Direct Debit
A regular payment of a variable amount from your account to
a third party or company
DR
Account Overdrawn
or Debit Item
An indicator on your statement to show that your balance is
less than zero
INT
Interest
Credit or debit on your account associated to interest earned
or incurred on your balance
ITL
International
Transfer of money from your account to an account outside
the United Kingdom
POS
Point of Sale/Debit
Card Transaction
A purchase made with your debit card e.g. within a retailer or
online
S/O
Standing Order
A regular payment of a fixed amount from your account to
another account, a third party or company
TFR
Transfer
Transfer of money between accounts
Source: https://www.supportcentre-rbs.co.uk/app/answers/detail/a_id/1190/~/do-you-have-alist-of-statement-abbreviations%3F (2015)
How can I access my bank statements?
Most banks will send you a bank statement by post to your home address at regular intervals e.g.
monthly. However, a lot of banks are encouraging people to stop receiving paper bank
statements for environmental reasons.
If you have registered for online banking, you can log in to your bank account online and view
your bank statements. You can search your bank statements for particular transactions or
choose to view specific periods of your statement. You can also set up payments and transfer
money to other accounts using this facility.
You can go in to any branch of your bank and request for print outs of your bank statements for
specific periods.
ATMs (cash machines) usually have an option to view your bank account balance and print off a
mini statement showing your most recent transactions.
Some banks have introduced mobile phone apps so you can securely log in to your bank account
via the app on your phone to check you balance and view your bank statements.
Why is my actual balance different from what is showing
on my bank statement?
There are several reasons why the actual balance on your account may be different from that
shown on your bank statement. Your bank statement shows a fixed period of transactions on
Reading University Students’ Union
PO Box 230, Whiteknights, Reading, Berkshire, RG6 6AZ
0118 378 4100 | advice@rusu.ac.uk | www.rusu.co.uk
your account. You may then spend money using your card, or withdraw cash, or a direct debit
may leave your account which will then change your balance. There may also be bank charges
to pay or interest on an overdrawn balance. Pending transactions are payments that are due to
leave your account but have not been fully processed, which may impact on your balance.
What should I do if there is a transaction on my bank
statement that should not be on there?
If you suspect that your account has been used fraudulently or notice any unusual activity on
your account, you must first report this to your bank, who may undertake an investigation or put
a hold on your account so that no further fraudulent behaviour can take place.
You can also report fraud to Action Fraud, the National Fraud and Cyber Crime Reporting
Centre. You can report fraud or cybercrime via their website http://www.actionfraud.police.uk/report_fraud - or by phoning 0300 1232040. Action Fraud
will not contact you with an outcome of your report, however, they will signpost you to
organisations who can offer help and support, such as Victim Support.
Top tips!
•
•
•
It may be useful to keep your own record of your spending which you can cross-reference
with your bank statements to ensure that you are in control of your spending and know
the amount of money you have available to you.
If you think you will go overdrawn beyond any agreed limits, it is important that you
contact the bank immediately to discuss this with them. This could help minimise any
unauthorised borrowing fees and other charges.
You should always keep all bank and financial information in a safe and secure place.
Always destroy any financial information that you no longer need, such as bank, credit
card and finance statements and unwanted junk mail by shredding them. Do not place
any of these items into household rubbish. This also applies to old credit or debit cards.
This is to prevent anyone from finding your information and using it for identity theft and
fraud.
Find out more
More information can be found on the following websites:
https://www.citizensadvice.org.uk/debt-and-money/banking/banking-security-and-fraud/
https://www.moneyadviceservice.org.uk/en/articles/running-your-bank-account
INDIVIDUAL HELP AND GUIDANCE IS OFFERED BY THE ADVICE SERVICE AT RUSU.
Contact us:
advice@rusu.co.uk
0118 3784100
Visit us at the RUSU Building, Whiteknights.
Produced October 2015
Reading University Students’ Union
PO Box 230, Whiteknights, Reading, Berkshire, RG6 6AZ
0118 378 4100 | advice@rusu.ac.uk | www.rusu.co.uk