A Guide On What To Do With Old Bank Statements | Shredding (2024)

FAQs

A Guide On What To Do With Old Bank Statements | Shredding? ›

Even if they're old statements, they should be shredded. Your name, address, phone number, and bank account information are in those statements, along with your habits, purchases, and banking history. Even if the account is closed, shred it anyway.

Properly dispose of paper documents

You'll put yourself at risk of fraud or identity theft if you simply throw away private documents, such as financial statements. Invest in a cross-cut shredder that will eliminate all traces of your personal information, or search for free shredding events in your community.

Yes, you should shred 20-year-old bank statements. They're well beyond the recommended retention period of 3-7 years for tax and audit purposes. Shredding ensures your personal and financial information remains confidential, protecting against potential identity theft or fraud.

Because bank statements include a number of personal and financial details – including your full name, address, bank details, and information about recent transactions – it's incredibly important to shred them before you dispose of them.

You should keep bank statements for at least seven years, in case the IRS needs to verify transactions during an audit. If you have ample storage space, consider keeping them for longer.

Keep Time in Mind. While some documents can be shredded right after you receive them, it's recommended to hold onto certain documents for set periods of time. For example, you will want to keep your old bank statements accessible for one year.

To protect your privacy, you should also consider shredding items that include: Names. Addresses. Phone numbers.

Cutting up confidential documents with scissors or tearing them by hand is a cheap and easy way to destroy important papers without a shredder. You can also use a hole punch to make printed words and numbers unreadable, such as bank account numbers and addresses.

If you have a lot of financial documents to keep track of, you might wonder what you need to keep and what can be thrown away. In the case of credit card statements, it's usually wise to keep either paper copies or digital files for at least 60 days.

Should I keep old credit card statements? ›

The IRS retains the right to audit anyone's financial history for up to six years. In this case, it's wise to keep credit card statements for at least three years, preferably six if there is a high risk of audit.

Credit card statements: Just like your monthly bills, you can discard these once you know everything is correct. Medical bills: These can be discarded once you know your insurance has paid the claim. Bank statements: Once you know your monthly statement is correct, you can toss the statement at the end of the year.

Delete one or more transactions from the bank statement

Click the “Reconcile” button in the upper right corner. Locate the transactions you want to delete, using the filter. Click on the three dots icon (⋮) next to each duplicate transaction and select “Delete”.

Checkbook Registers: Up to 10 Years

“Not only are they the story of a year, but if you use them regularly, it's a reference for expensive purchases or services that you didn't keep receipts for.” (Plus, these are records that do not exist digitally, meaning you need to keep them longer.)

To be on the safe side, McBride says to keep all tax records for at least seven years. Keep forever. Records such as birth and death certificates, marriage licenses, divorce decrees, Social Security cards, and military discharge papers should be kept indefinitely.

Beyond those minimums, banks will often keep records of closed accounts for 7-10 years after closure. This allows them to reference for any potential issues. After about 10 years, banks usually archive the records offline or to microfilm/digital storage.

While the IRS recommends keeping most records for only three years, it does state that some records must be kept longer. For example, if you're a small business owner or self-employed, records from a claim for a loss from bad debt or worthless securities should be kept for seven years.

Settle your debts

If you have a negative bank account balance or owe fees, pay off the debt. Ask for written proof that you have settled up and hang on to the receipts and documentation. If the amount is more than you can pay at once, try to negotiate a lower amount or a repayment plan.

Delete entire bank statement

Select the account containing the statement you want to delete. Click the “Reconcile” or “Reconcile” button in the upper right corner. Check the box to the left of “Date”. This will select all transactions in the bank statement.