Balance an account

Balance an account
See also

Balance an account is the net amount of assets and liabilities during an accounting period, i.e. the amount of money remaining in any bank account or other similar institution. This might include savings accounts, checking accounts, retirement accounts, or any other funds that one may hold. Another definition says that it is the difference between the increases and decreases in the account[1]. Every operation performed in a bank must be posted. Sometimes, however, this requires time from which the so-called unsettled transactions and differences between the balance and available funds. So when we make a card payment or make a transfer, the amount we issue can no longer belong to the one we still have. However, it can still be seen in the balance because it has not yet been booked.

How to check information about bank account balance?

There are various ways in which you can get the information about the bank account balance[2].:

  • balance check at the ATM
  • phone or online
  • after logging into the customer's panel
  • occasionally banks can send a text message about the balance to the phone number provided

For example, an ATM withdrawal from a checking account may immediately reduce the balance available, while a purchase from a petrol station (or shops) may not reduce the balance for a few days, until it is determined exactly how much was charged and withdrawn from the bank. It can, therefore, be said that the balance is the sum of money we can use at any given time, and the amount that has not yet been settled.

Types of balances

Balances can be divided into:

  • the debit balance this type of balance is when the turnover on the side of (Dt) is greater than the turnover on the side (Ct)
  • credit balance is when the turnover on the side of (Dt) is greater than the turnover on the side (Ct)
  • zero balance there are the same amounts on the (Dt) and (Ct) sides

Zero account, otherwise ZBA is a financial account used for making payments, but not maintaining the current balance. An example of this type of account may be a company account, which is used to pay to the suppliers of the company, but contains only a sufficient amount of funds to pay the invoices he receives, from suppliers as well as his own. Basically, financing is from a different account under the company's control[3].

In accounting

The account balance shows the net worth of assets and liabilities within the accounting period. Usually this can be referred to as an individual's or firm's net worth or total wealth because it subtracts any debts or obligations from positive sums. The account may contain the initial balance (Sp), that is the state of the value of assets or liabilities at the beginning of the accounting period, or the final balance (Sk), or the value of assets or liabilities at the end of the settlement period[4].

Account balance and available credit

Account balances in the case of credit cards is the total amount of debt owed at the start of the statement date, also consists of any debt accumulated from previous months, which can be liable for interest charges. Available credit is the term used together with the account balance to indicate how much credit line the account holder has left to spend. For some bank accounts, deposits may not clear in whole or in part instantly, and may take up to a few business days to appear in your account. In such situations, the bank will usually point out the available balance and that unavailable amount that is waiting to clear[5].


  1. Gilbertson B. C., Lehman M. W., Gentene D. (2013)
  2. Gitman L., Joehnk M., Billingsley R. (2014)
  3. Moncrief P. (2004)
  4. Epstein L., Myers S. (2008)
  5. Gilbertson B. C., Lehman M. W., Gentene D. (2013)


Author: Edyta Chrustek-Krawczyk