The ledger balance in a checking account is the balance of the account once the total number of debits are subtracted from the total number of credits within a given account period, as Investopedia explains. The ledger balance includes all checks or transactions that have not yet cleared, says Trustmark.
The ledger balance differs from the available balance. The available balance refers to the funds available at any given point in the day and may not include outstanding transactions and checks, explains Trustmark. For example, Trustmark shares that transactions for the current business day frequently do not show in the available balance.