I Want to Cancel My Bank Account: What Do I Need to Know?
If you have too many bank accounts, it becomes a lot harder to keep track of your money. Unless you have a business, you only need one or two accounts. Canceling an extra bank account seems like it should be a simple thing to do, but if you don't take all the proper steps, you might hurt your credit.
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Process
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Each bank has its own specific process for canceling accounts. You may be able to do it easily by simply clicking a button from within your online account or you may be able to do it over the phone. Most banks, however, will require a written request that details your name and account number. Once you make this request, the bank will send you a check for any money that you have in the account.
Outstanding Charges
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If you've written checks, you need to make sure that all of them have been cashed before you cancel your account. If not, the checks will bounce, which may result in added fees from the bank or check holder. Compare your check register to your bank statement to ensure everything has gone through.
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Changing Bills
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Make a list of all the bill payments you have set up to automatically withdraw from your bank account. Once you cancel your bank account, these charges will not go through. You must change them to your new account before the next payment is due. It's smart to change all of these payments before you cancel the account.
Fees
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According to Bankrate, some banks will charge a fee when you cancel your account. The bank may take this fee from the money left in your account, so you may not notice it. If you don't have any money left in the account, though, be prepared to pay it.
Direct Deposit Payroll
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If you receive your paycheck by direct deposit, it's smart to transfer the payment to your new account several weeks before you cancel your old account. Wait for at least one payment to go into the new account before closing the old one.
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References
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