Overdrawn

• When a company writes checks out totaling more than the amount of cash available, the cash account would have a credit balance.
  
  

Deposits Not Recorded

• The company’s cash account might reflect a credit balance if a deposit made has not been recorded on the check register.
  
  

Checks Mailed

• Sometimes a company mails checks out in the afternoon which causes the cash account to have a credit balance. The company then makes and records a deposit the following day.
  
  

Electronic Withdrawals

• Often times, electronic withdrawals happen that the company did not expect. These withdrawals would cause the cash account to have a credit balance.
  
  

Monthly Fees

• Monthly fees occur with bank accounts and can cause the cash account to have a credit balance if there is not enough money in the account to cover the fees.