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.

---

Time To Connect With Your Teen

While on a recent trip to the grocery store, I happened to hear a mother telling her teenage daughter not to answer her ringing cell phone. Of... Read More

Encouraging Your Child to Write

How in the world do you get your child to write? This is the battle cry of many parents. A lot of imagination, with a little bribery... Read More

How To Teach Your Children Courage

Courage means doing the right thing when it is hard, even when it means being called a "chicken" by others.A person with courage dares to attempt difficult... Read More

Helping Your Kids Handle Divorce

Every year over one million parents have to talk to their kids about divorce. For each parent, the discussions differ, but the goals of the discussions are... Read More

Going Out to a Restaurant with Kids

Dining in a restaurant with kids can be very enervating and embarrasing. Not only that you have to desperately try and keep your wiggling toddler seated and... Read More

Study Skills - How Can YOU Help Your Kids?

Some years ago when touring the Scottish Highlands, a man I met said something that's stuck with me ever since.He was elderly, yet was still working away... Read More

Healthy Eating For Children: Six Simple Rules

Rule #1 Make Every Bite Count!Everything your child eats should be nutritious. Children can be picky and inconsistent, so make sure that what they do eat is... Read More

Parent Involvement: Finding Your Way in Middle School and High School

In elementary school it's pretty straightforward: bringing in cupcakes to help the room mother, reading a story to the class, or helping out at the science fair.... Read More

A Call For Fathers

Dads, please let me encourage you to change some things in your life. A recent University study found that the average father in America spends less than... 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 because this birthday is more for the parents than for the child. At age 1, a child... Read More

We All Wish That Our Children Have Good Virtues, But... Are We Setting A Good Example Ourselves?

We all wish that our children should not smoke or drink, should not speak lies, should not steal, should not have a violent nature, etc... but are... Read More

Americas Public School System --- Brutal and Spartan

The public school system in America has become a dismal failure. But education in many other times and cultures has been quite successful. The ancient Greeks, whose... Read More

Develop Your Childs Genius: Improving Concentration and Focus

Some people can concentrate on an assignment, to the exclusion of all distractions around them. My husband, who is an avid reader, can sit at a public... Read More

Helping Your Kid?s Grow a Garden

Start some gardening traditions with your kids. Give them their own garden patch and a spot to dig. Children love getting their hands dirty and watching things... Read More

Beginning the Special Education Process

Like anything else in life, there's a method to the special education process. It was put in place to help people who deal with learning disabilities get... Read More

Want To Further Your Childrens Studies?

Being in a competitive world, the lowest qualification to secure a good job is a degree. However, a degree subject may be perceived as too general and... Read More

If your child is being bullied - 20 top tips for parents

Keith is now in the fourth grade and he dislikes school. For a fourthgrader, this does not sound right. The reason Keith dislikes school thoughdoes not have... Read More

The Theme from MASH - Suicide is Not Painless

The Theme from MASHI flipped the button on the remote control, pausing mindlessly at each channel to see the picture on the screen; I could not motivate... Read More

Homeschooling ? Can I Do It?

Many parents would like to homeschool their children but are afraid they don't have the training or ability to be their children's teacher. This is certainly understandable,... Read More

Nail Biting Basics

Nail biting in all its various forms is problematic behavior beset by peculiarity and contradiction. Technically speaking, the correct word for nail biting is ANONYCHOPHAGIA. ... Read More

Homework Doesn?t Have to Be a Battle of Wills

Homework. It doesn't have to be a daily battle of wills between child and parent. There are several strategies and elements that a parent can use to... Read More

Five Easy Steps to Picking the Perfect Baby Name

One of the few decisions you'll make during pregnancy that will, in fact, last throughout your child's lifetime is the choice of your baby's name. (Unlike, for... Read More

The Seven Keys to Child Obedience

Learning obedience is an important part of child development. This is the tool that allows you as parents to train your child. Through obedience your child will... Read More

Child Separation Anxiety: Does Your Child Have It?

If you are a parent, then more than likely you may face the common problem of separation anxiety in your child. What exactly is child separation anxiety?... Read More

Home For The Holidays: Ask Yourself Some Questions

Annie easily slipped into becoming the sole caregiver of her parents. What started out as monthly grocery shopping for them, over the course of 2 years became... Read More

What is Child Sexual Abuse?

What is child sexual abuse? Any sexual activity that is imposed on a child by an adult or an adolescent is a sexual assault and abuse of... Read More