Your Checking Account

Checking accounts are an absolute necessity these days. You can either have a checking account or run to the bank or other outlet for money orders. Many people pay for almost everything with a check including groceries, gas, clothes and a long list of other things. When you add an ATM card to this picture, your chances for a potential problem is greatly enhanced.

Don't get me wrong. There are many people that can keep their check book up to date, even deducting all of the ATM advances and automatic withdrawals as they make them. However, too many people that write checks for everything wind up not entering a check when it is written or an ATM advance when it is made. The result is a bounced check fee of up to $25 for the bank and god only knows what the store where you wrote the check could charge you.

It seems like carrying cash to pay for things isn't the "IN" thing to do. When I'm in the check out line, most people are paying with a credit card, debit card, or check. I realize that carrying cash has it's risks. You could lose it or have it stolen. What are the risks when paying by check? There are absolutely none if you enter each check and properly deduct the amount from your account. However, I have counseled people that have as much as $100 per month in overdraft fees. This isn't just for one month. This is an average over a six month period. That is a lot of money that these people couldn't afford.

What's the best way to handle my checking account?

If you don't have problems keeping up with your checking account, keep doing what you are doing.

If you occasionally have bounced checks, I recommend that you use your checking account only to pay your monthly bills and use cash for everything else. If you have an ATM card, destroy it.

With that said, I know you will probably not quit writing checks or destroy your ATM card. So let's look at what you need to do to keep up with your checking account.

Determine exactly how much money you have in your account even if you have to go to the bank for help.

Enter that information on a new page in your check register.

Enter the date, your check number, payee and amount in your check register when you write the check. Don't worry about the people in line behind you. This will only take a few seconds. If you like, you can deduct the amount of the check when you get home.

Take your check book with you when you use the ATM and enter your withdrawal while you are still at the machine.

Develop a system to deduct automatic withdrawals. It is probably best to deduct these on the first of each month.

Add any deposits as you make them. You need to find out how much and when direct deposits should be entered in your check register.

When you receive your bank statement, reconcile it as soon as possible. If you find any discrepancies check them out immediately. Don't give up until you are sure you have resolved the problem. The balance you show in your check register should match the bank, less any bank charges.

When you reconcile your bank statement be sure to clearly mark the checks that have been returned to you. One of the biggest problems people have with overdrafts is missing a check that is taking a long time clearing the bank. Go back at least a month to make sure all previous check have cleared.

I really don't mean to insult anyone's intelligence with this article. Having problems with your checking account, as with all other money problems, isn't a matter of intelligence anyway, it's a matter of discipline. It can cost you a lot of money by not applying that discipline to managing your checking account.

Terry Rigg is the author of Living Within Your Means - The Easy Way http://www.homemoneyhelp.com/ebookadpage.html and editor of The FREE Budget Stretcher Newsletter and Budget Stretcher web site http://www.homemoneyhelp.com. He has 25 years of experience counseling individuals and families concerning their personal finances.

---

Hearing Our Seriously Distressed Adolescents

The distressed adolescent often has feelings of abandonment, emotional detachment,... Read More

Top Three Ways To Communicate With Your Child

Although many parents become frustrated as they try to maintain... Read More

The Most Innovative New Approach for ADHD, a Natural Remedy

What's new and effective in the treatment of Attention problems?... Read More

Late Night Adventures with Your Children

Vacations are fun ! Weekends with the family are nice.... Read More

Discipline on My Mind

I look out of the window as I am writing... Read More

Avoid Weight Problems In Children

Although, not a well publicized statistic, childhood obesity has more... Read More

Children?s Birthday Party Planning: When and When Not to Have a Big Party

Age 1: Invite only family members and close friends only... Read More

New Baby ? Relax and Become a Yummy Mummy

Lets face it becoming a mum is a bit of... Read More

I Dont Believe in ADHD

O.K. I've heard it a hundred times from my prison... Read More

Raise Awesome Kids! This 4-Point Plan Gets Results

Are your children truthful, kind, and helpful? If so, read... Read More

How To Foster An Environment For Successful Communications With Your Child

As parents, we strive to address all of the questions... Read More

A Call For Fathers

Dads, please let me encourage you to change some things... Read More

10 Signs That Your Teen Is Using Drugs

Did you know that over 75% of teens aged 16-17... Read More

How to Parent Your Teen Effectively

Maintain CommunicationEven though teens need to separate from their parents... Read More

My Children

I have been a single mom for almost 20 years.... Read More

End Babysitter Abuse

Not many things are more upsetting than discovering that your... Read More

How Well Do You Know Your Child?

Do you think you really know your child? I don't... Read More

The Neurology of Attention Deficit Hyperactivity Disorder, Part One

What is Happening in the brain of children, teens, and... Read More

Healthy Eating For Children: Six Simple Rules

Rule #1 Make Every Bite Count!Everything your child eats should... Read More

The Benefits of Music Education

Despite serious reductions in funding for arts programs in... Read More

Nothing Like a Mothers Love

Travel is a common theme in my life -- probably... Read More

Punishing the Victim -- Why Public Schools Pressure Parents To Give Their Kids Mind-Altering Drugs

Public-school teaching is structured in such a way that it... Read More

Kids and Sports: Fundamentals First

Would you hand a child calculus problems once she was... Read More

ParentingYour Teenager: Dont Buy the I Dont Know and I Dont Care Attitude

"I don't know and I don't care."I've heard those words... Read More

Swing Sets and Outdoor Play Equipment- 5 Essential Tips Before You Buy

For first time parents choosing a swing set or outdoor... Read More

Its OK For Your Child To Be Bored - In Fact, Its Recommended!

NY -- Strange as it may sound, bordom promotes happier,... Read More

Raising a Violent-Free Teen in 10 Easy Steps

The disquieting behavior of teenagers in the 21st century, is... Read More

Working Moms vs. Stay-at-Home Moms, Lets Stop Debating Each Other and Debate the System Instead!

I could nearly fund my children's future education if I... Read More

Building Teen Character: Part-Time Employment

The teenage years are a crucial time in a child's... Read More

Bath Time Fun

Bath time can be fun or it can be a... Read More

Kids Party Etiquette for Parents

Ever feel like you're out of the loop when it... Read More

Finding Out Your Child Has a Disability: Its Not the end of the World

Finding out that a child has been born with a... Read More

Old Wives Tales and Other Things That Just Might Help with ADHD

Here are some tips that I have picked up from... Read More