What is ledger balance in bank account

Ledger balance, also known as current balance, refers to the total amount in your bank account at the beginning of a business day. It is calculated by the bank after processing all deposits, withdrawals, and transactions from the previous day. Key features include:

• It remains constant throughout the business day and only updates after nightly batch processing.
• It does not include real-time or pending transactions, such as recent ATM withdrawals or uncleared cheques.
• Banks use it to verify minimum balance requirements and for official statements.