Shredding Bank Statements

19th century bank symbol: Shredding Bank Statements3 Reasons to Take Action

Keeping financial statements in case of audit or questions regarding payments is one thing, but shredding bank statements that are no longer useful brings numerous benefits to your home or office. Before shredding, it’s important to understand retention guidelines. Keep paper documentation related to tax concerns for at least three years. Yet some industry rules require retaining documents for up to seven or ten years. Before shredding bank statements, check with your CPA or other professional advisor.

Protection from Identity Theft

The US Justice Department reports identity theft victimizes more than 11 million individuals every year. According to the Bureau of Justice Statistics, 85 percent of identity theft is related to fraudulent use of bank or credit account information. Keeping your account information out of fraudster hands is the first step to protecting yourself. Shredding bank statements destroys pages so criminals can’t access account information. It sounds like a television show plotline, but hackers and scammers do dig through residential and business garbage bins in search of bank and credit card statements.

Shredding Bank Statements Keeps You Organized

Shredding unnecessary paper information helps you create a more efficient records management system for your home or office. Years of statements only get in the way when you search through filing cabinets. And, it’s unlikely you’ll ever return to bank statements or canceled checks from 11 years ago.

Consider culling paper records one or more times a year. Many of our clients schedule a regular shredding service; it’s part of their routine cleaning and organizing activities. Clients often tell us that having us shred their unwanted paper gives them peace of mind in two ways: reduction of clutter and knowing their information is safely and permanently destroyed.

Reduce Unnecessary Paper to Save Space

Perhaps paper doesn’t get in your way because you have a super filing system. Still, all the paper has to reside somewhere, which may be taking up valuable space in your home or office. Decrease paper collections, get rid of extraneous filing cabinets, and use your space for a more enjoyable purpose such as a reading nook.

Are you shredding bank statements? If so, how often?