Keeping accurate records – what consumers need to know about record keeping!

Author : teriann

When I was younger, keeping receipts of items after I had bought them did not seem very important. Instead, I would causally toss it away with not even a backward glance. Things have certainly changed as I now understand the value of keeping your not only your receipt for a purchase but keeping accurate financial records as well.

Keeping accurate, organized records is an important part of: preparing financial statements, disputing claims or errors, showing lenders that you can make your payments as well as identifying and confirming your income sources.

Record keeping – why important?

Financial Records, which cover documents like bank statements, taxes, and loans are extremely important to keep even if the financial institution has made several copies. These documents will be essential if you decide to query a past payment or provide a basis or apply for leniency on a loan.

Just a note of caution remember to go through your documents to make sure that the information presented there is accurate. If you find an error, talk to your financial advisor and the party is responsible for issuing the statement about getting it corrected. If you don’t, it will negatively affect you in the future if you then decide to try and change the information.

Storage

When organizing your records, keep them in a safe, secure place like a lockable filing cabinet or fireproof safe. In cases of records that are difficult to replace, like titles and deeds, put them in a safety deposit box.

If you are not keen on disposing of old records but don’t have the room to store them, it is advised that you back them up to an electronic file or by making scans. By keeping backups of your records, you will have access to them in case the originals are lost.

When it is time to dispose of a record, it needs to be done correctly and safely. In doing so, you will be protecting your personal information from thieves:
Paper records should be shredded or incinerated. If shredding, opt for shredders that produce “confetti”. These pieces are smaller and cannot be put back together like strip shredding .
Digital records should be “sanitized” either by physically destroying the storage medium (like a CD) overwriting the data.
While more convenient to store, digital records are harder to destroy since hitting “delete” doesn’t actually destroy the information–there are backup files that can be dug out and recovered with file recovery programs.
Do you keep and maintain accurate records? Drop me a line below and share your thoughts!
Teri Ann Renee Paisley
Gleaner online writer

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2 Responses to “Keeping accurate records – what consumers need to know about record keeping!”

  1. Tay says:
    October 8, 2020 at 4:08 pm

    This is indispensable advice. One never knows when a situation might require one to find supporting evidence. Proper record keeping is essential for both business and personal. Sometimes I would scan documents and email it to myself but there a many options available in the digital world.

    Sometimes I do get behind but I try to carve out at least two hours on the weekend to get caught. You just have to find a rhythm and see what works best for you.

    Caution should be exercised when disposing of records. I am glad you mentioned that especially when using the shredder. You are correct with deleting the files from the computer isn’t a simple process. I have gotten mindful of that.

    Thanks for sharing!

  2. teriann says:
    October 25, 2020 at 1:26 am

    Hi Tay,
    Thanks for taking the time to read and comment on my post. Keep visiting and sharing!

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