Shanu Singh Guliani

Banking Mistakes to Avoid
January 2, 2008

As a small business owner doing my own sales tax and use, paying my employees (and the taxes associated with that), keeping track of all the money going in and out of the bank account for supplies, and vendors—I learned you have to be cautious and pay close attention to what’s really going on in the account. Bank errors and the potential of identity theft have made it imperative that you become proactive and follow simple safeguards. Below are a few of the most common banking mistakes to avoid:

1. Not reviewing your bank statement carefully.The biggest personal banking mistake is not opening and looking at your bank statements when you receive them. This is the only way to know immediately if there is a mistake in the account or if the balance is below the minimum level for which you will be charged a fee.
2. Don’t opt out of paper statements. Even if your bank charges you a few cents for paper statements, you should not “opt out.” You can’t always guarantee that the information reflected in your online banking account is correct and your bank statement allows you to review the month’s credits and debits carefully.
3. Paying unnecessary fees. Banking is a competitive business. There are banks that charge fees for various services and others that do not. Don’t pay unnecessary fees because you are too lazy to shop around.
4. Keeping too much money in the account. Especially in savings accounts and other accounts that pay insignificant interest rates. That money could be put to work for you much more effectively.
5. Leaving a paper trail. You’re at the banking counter and you fill out a deposit slip incorrectly, so you toss it aside and ask for a new one rather than tearing up the first. All bank documents that you plan to discard should be treated in the same manner—shred them or tear them up into small pieces.

Posted by Shanu Singh Guliani on January 2, 2008 | Comments (0)