Knowing your account balance is the best way to avoid overspending. But when you log in and see two different figures for your available balance and your posted balance, do you know which one to go by? This video breaks it down.
Available balance shows spending
Your available balance is a better view of your spending. It shows the amount of money in your account, plus pending transactions. Those are debits and credits that haven’t yet posted.
Each time you use your debit card, a pending transaction will instantly be reflected in your available balance, giving you an up-to-date picture of your overall spending.
Posted balance is the bank’s tally
Your posted balance—sometimes also known as current balance—shows every transaction that’s posted. That includes all the money that’s gone out—called debits—and the money that’s come in—called credits. But because it does not include your pending transactions, it’s not the most complete view of the money at your disposal.
Understanding the difference between your posted balance and your available balance can help you avoid overdrawing your account and give you more control of your money.
For more help getting on the path toward better financial confidence and well-being, check out this collection of stories.