What is Account History?
An account history is a statement of all the activity that has occurred in an account for a given period of time.
How Does Account History Work?
Monthly bank statements for common checking accounts often are account histories. They show all of the deposits and withdrawals in the account for a month. Most account histories are electronic records and go back to the account's inception.
Why Does Account History Matter?
Account histories are important for reconciling and balancing an account. They are also important for credit accounts, such as credit cards, because they help identify unusual and possibly fraudulent transactions. Lenders may also look to borrowers' account history to confirm that the borrower has done or not done certain things. The IRS and law enforcement authorities may even look at account histories to identify tax evasion or improper activity.