Yes, New Year's Day is a federal bank holiday in the United States

New Year's Day — January 1st — is a federal holiday, which means most banks close for the day. The Federal Reserve, which sets the official list of bank holidays, includes it. If you need to do banking on January 1st, your branch will be closed, and you will not be able to withdraw cash, deposit checks, or speak to a teller in person.

However, "bank holiday" does not mean all financial services stop. ATMs stay open. Online banking, bill pay, and transfers between your own accounts work normally. Wire transfers and ACH payments initiated on January 1st may process on that day or may wait until January 2nd, depending on the type of transaction and your bank's systems.

The closure affects in-person services only. If you need cash or need to speak to someone at a branch, plan ahead.

Key Takeaways

  • Bank branches close on January 1st, but ATMs and online banking remain available.
  • Wire transfers and ACH payments may process on January 1st or delay until January 2nd depending on your bank and transaction type.
  • The Federal Reserve observes New Year's Day as an official holiday, so most U.S. banks follow the same closure.
  • If you need in-person banking services, plan your deposits and withdrawals for December 31st or January 2nd.

What stays open and what closes on January 1st

Physical bank branches close. You cannot walk in, speak to a teller, deposit a check in person, or withdraw cash from the counter. This applies to most major banks — Bank of America, Wells Fargo, Chase, Citibank — and to most regional and community banks.

ATMs do not close. You can withdraw cash 24 hours a day on January 1st, just as you would on any other day. Debit card transactions at stores and gas stations process normally. Online banking portals stay open, so you can check balances, pay bills, and transfer money between your own accounts.

Some credit unions also close on January 1st, though a few remain open. Call your credit union ahead of time if you are unsure.

How wire transfers and ACH payments work on New Year's Day

A wire transfer you initiate on January 1st may or may not process that same day. The Federal Reserve's wire transfer system (Fedwire) does not operate on federal holidays, so wires sent on January 1st typically wait until January 2nd to move. However, some banks use private wire networks that operate on holidays, so the timing depends on your bank and the receiving bank.

An ACH payment — the system used for direct deposits, bill pay, and most person-to-person transfers — also does not process on January 1st. The ACH network is closed. Payments you schedule for January 1st will process on January 2nd instead. If you schedule a payment for January 2nd, it will process on January 2nd.

The key difference: wire transfers are time-sensitive and you should avoid initiating them on January 1st if the money needs to arrive the same day. ACH payments are already scheduled days in advance, so a one-day delay is usually not a problem.

Which banks observe New Year's Day as a holiday

Nearly all banks in the United States close on January 1st because the Federal Reserve designates it as an official holiday. This includes national banks (chartered by the federal government), state banks (chartered by states), and most credit unions.

A very small number of online-only banks or credit unions may remain open because they have no physical branches to close. However, even if their customer service lines are staffed, the underlying payment networks (Federal Reserve, ACH, Fedwire) are still closed, so transactions will not process until January 2nd.

If you bank with a large national bank, a regional bank, or a local credit union, assume the branch is closed on January 1st.

Planning ahead: what to do before and after New Year's Day

If you need cash on January 1st, withdraw it on December 31st. ATMs work, but if you need a large amount or need to speak to someone, visit your branch before the holiday.

If you need to deposit a check, deposit it on December 31st or January 2nd. Checks deposited on January 1st will not be processed until January 2nd anyway, so there is no advantage to waiting until the holiday.

If you are paying a bill on a tight important date, do not schedule the payment for January 1st. Schedule it for December 31st or January 2nd instead. The same applies to transfers between banks — they will not process on January 1st.

If you use bill pay through your bank's online portal, you can schedule payments in advance. Set them for January 2nd or later to avoid the holiday delay.

What happens if you need banking services on January 1st

If you absolutely need to move money on January 1st, your options are limited. ATMs work, so you can withdraw cash or deposit checks at an ATM (if your bank offers mobile check deposit). You can transfer money between your own accounts through online banking. You can make debit card purchases at stores.

You cannot initiate a wire transfer that will process the same day. You cannot deposit a check at a teller window. You cannot speak to someone at a branch about a problem with your account.

If a problem arises on January 1st that requires human help, you will need to wait until January 2nd. Some banks offer customer service phone lines on holidays, but they cannot process transactions or access your account in real time — they can only take notes for the next business day.

Frequently Asked Questions

Can I use my debit card on New Year's Day?

Yes. Debit card transactions at stores, gas stations, and online retailers process normally on January 1st. You can also withdraw cash from ATMs. Only in-person banking at a branch is unavailable.

Will my direct deposit arrive on January 1st if it is scheduled for that day?

No. Direct deposits scheduled for January 1st will arrive on January 2nd instead, because the ACH network is closed on federal holidays. If you are expecting a paycheck on January 1st, it will arrive the next business day.

What if I need to wire money on New Year's Day?

Wire transfers do not process on January 1st through the Federal Reserve's system. If you initiate a wire on that day, it will process on January 2nd. If the money needs to arrive the same day, you will need to send it on December 31st instead.

Do online banks close on New Year's Day?

Online banks have no physical branches to close, so their websites and apps stay open. However, the underlying payment networks (ACH, Fedwire) are still closed, so transactions will not process until January 2nd. You can log in and view your account, but transfers and payments will be delayed.

Can I deposit a check at an ATM on January 1st?

If your bank offers mobile check deposit through ATMs, yes. However, the check will not be processed until January 2nd because the banking system is closed. Depositing it on January 1st or January 2nd makes no difference in processing time.