You might close a bank account for various reasons, such as switching banks or consolidating finances. By managing your account and understanding the necessary steps, you could close your account permanently, but it may involve some challenges. Here are the steps involved with closing a bank account.
Steps to close your bank account
These are usually the steps to take when closing your bank account.
Ensure all pending transactions are completed
Before closing your bank account, ensure all payments, deposits and transfers have been processed. This prevents issues such as returned payments or missed deposits.
Review your account activity for the past 30 days to catch pending transactions like automatic payments, outstanding checks or recurring deposits.
Double-check for upcoming transactions that might not have been processed, such as rent, utilities or subscriptions. Resolving these before closing the account may help you avoid issues later.
Be sure to cancel any savings or subaccounts connected to the checking account. Also notify your employer or other sources of income about your new banking details. Be sure to switch automatic bill payments to your new account to prevent missed payments.
Transfer your funds to a new account
Once all transactions are settled, transfer the remaining funds to your new account. Use your current bank’s mobile app or website and look for the transfer option in the menu. Select transfer funds to another account and add the necessary account details. Transferring money typically requires the routing number and new bank account number.
After the account details have been confirmed, follow the prompts to make the transfer and wait for the notification that it has been completed. Transferring money between bank accounts can take from 1 to 5 days.
