CHICAGO, IL – Although the temperatures are still low, spring has arrived and it is a good time to rid your home of the clutter and paperwork you have accumulated over the past year. However, when it comes to reviewing your financial records, it is important to know what to keep, what to discard, and when. The Better Business Bureau serving Chicago and Northern Illinois (BBB) offers advice on how to safely clear your clutter.
“Spring cleaning is a great time to reorganize and clear out,” said Steve J. Bernas, president & CEO of the Better Business Bureau serving Chicago and Northern Illinois. “It is important to understand what you can get rid of and the BBB Shred Day offers a safe way to dispose of sensitive information.”
The Better Business Bureau suggests the following record keeping and removal tips:
- Canceled checks: All canceled checks and related receipts or documents for a home purchase or sale, renovations, or other improvements to a property you own should be kept indefinitely. The same holds true for non-deductable contributions to a retirement account. Checks that support your tax returns must be kept for a minimum of seven years. All other checks may be discarded after a year.
- Deposit, ATM, credit card and debit card receipts: Save them until the transaction appears on your statement and you have verified that the information is accurate.
- Credit card and bank account statements: Save those with no tax or other long-term significance for about a year, but save the rest for up to seven years. If you get a detailed annual statement, keep that and discard the corresponding monthly statements. Also, be sure to mark closed deposit accounts as such.
- Credit card contracts and other loan agreements: Keep for as long as the account is active; they may be needed in the event you have a dispute with your lender over the terms of your contract.
- Documentation of your purchase or sale of stocks, bonds and other investments: Retain these while you own the investment and then seven years after that.
To avoid becoming a victim of identity theft, be sure to shred any document that contains a Social Security number, bank account number or other personal and financial information before disposing.
The BBB offers its FREE shred day events in Chicago. On Saturday, June 22, our shred day event will be held at the United Center, on Wood St. between Madison & Warren Blvd., in Parking Lot E. For more information as well as a list of approved materials to shred, visit www.chicagoshreds.com
For more advice on safely discarding paperwork, visit www.bbb.org