How to Switch Bank Accounts
Switching bank accounts is a fairly straightforward project--but the amount of detail-oriented work involved can quickly become a hassle for anyone. Getting better interest rates, lower fees and extra perks--like online bill pay--through the account may make the switch worth your while. The best way to prepare for switching bank accounts is to have your old account organized, keeping meticulous track of all charges and debits.
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Instructions
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Open your new bank account. Depending on which financial institution you use and what sort of account you're opening, this may include a minimum deposit and/or nominal fees. Be prepared to provide proof of your identity, such as a driver's license or passport. You may also need to provide a piece of mail with your name and current address on it to prove your address is current.
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Make a list of all ongoing direct deposits linked to the old account. These may include payroll checks or deposits connected to financial investments. You'll need to contact each depositor directly and give them your new account information to have the deposits switched over.
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Make a list of all automatic debits coming out of your old bank account. If you were using your bank's online or automatic bill pay capabilities, you can usually cancel the debits through your bank's bill pay manager and then set up new debits through your new account. If you had set up the debits individually through the debitors, you'll need to contact the companies making the debits directly and give them your new account information.
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Make a list of any checks or debits that have yet to clear the old account. Sum up their totals and make sure to leave at least enough money in the old account to cover them. You'll want to wait until all outstanding bills and checks have cleared through the account before closing it. If your old account had a minimum balance requirement, you will have to leave that amount in the account until you close it, at which point you will receive it back.
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Tips & Warnings
If you're not entirely sure of which direct deposits or automatic debits are coming out of your account, contact your old financial institution and request a copy of the last year's worth of bank statements. Looking through the old statements will also help make sure that you don't accidentally overlook any quarterly, semi-quarterly or yearly debits or deposits.
