The basic steps for moving your money to a new bank

Switching bank accounts means closing one account and moving your money and regular payments to another. The process takes a few weeks because banks have to verify information and process transfers, but you can do most of it yourself without waiting in a branch.

The core steps are: open the new account, tell your employer and billers where to send money instead, move your existing balance, and close the old account once everything has moved. You do not have to do these all at once — many people keep both accounts open for a month while payments redirect — but closing the old one eventually prevents confusion and unused account fees.

Key Takeaways

  • You can open a new account at any bank or credit union before closing your old one, so you have time to set up the switch without rushing.
  • Direct deposits and automatic bill payments need to be redirected to your new account number, which you can do by contacting your employer and each biller separately or by using your old bank's bill pay to send yourself a final check.
  • Moving your existing balance can happen through an ACH transfer (which is free and takes three to five business days) or by withdrawing cash and depositing it yourself.
  • Some banks offer a service that redirects old account payments to your new one automatically for a limited time, which gives you a safety net while you update your information elsewhere.
  • Close your old account only after you have confirmed that all regular payments have moved and no outstanding checks are still clearing.

Opening your new account before you close the old one

Start by opening the new account while your old one is still active. This gives you a working account to redirect payments to and time to make sure everything is set up correctly before you close anything.

Visit the bank or credit union in person, by phone, or online. You will need a government ID, proof of address (usually a recent utility bill or lease), and your Social Security number. The account opens within a few minutes to a few hours depending on the bank. Write down your new account number and routing number — you will need both to redirect payments.

Some banks offer a switch kit or account transfer service that handles some of the redirecting for you. Ask about this when you open the account. If the bank offers it, they will give you a form to fill out listing your old account and the payments you want moved. The bank then contacts your employer and billers on your behalf, which saves you phone calls.

Redirecting your direct deposits and automatic payments

Direct deposits are paychecks and government benefits that go into your account automatically. Automatic payments are bills you have set up to pay from your account each month. Both need to point to your new account number.

For direct deposits, contact your employer's payroll department or the benefits office (if it is a government check). Give them your new account number and routing number. They will update their records, and your next deposit will go to the new account. This usually takes one to two pay periods.

For automatic bill payments, you have two options. The first is to contact each biller — your utility company, credit card issuer, insurance company, phone company, and anyone else you pay automatically — and give them your new account number. The second is to use your old bank's bill pay feature to write yourself a check from the old account, which you then deposit into the new one. This works if you have only a few payments or if you want to move everything at once without calling multiple companies.

If your old bank offers an automatic redirect service, they will forward payments sent to the old account to the new one for a set period (often 12 months). This is a safety net in case you miss updating a biller, but do not rely on it as your main plan — update your information directly with each company.

Moving your existing balance

Once your new account is open and your future payments are redirected, move the money that is already in the old account.

The easiest method is an ACH transfer (Automated Clearing House transfer). This is a free electronic transfer between banks that takes three to five business days. Log into your old bank's website or app, look for "transfer funds" or "move money", and select your new bank as the destination. Enter the amount you want to move. The old bank will ask for your new account number and routing number. You can transfer your full balance or leave a small amount in the old account as a buffer in case a payment clears after you think you have closed it.

If you prefer to move money when ready, you can withdraw cash from the old account and deposit it into the new one. This works but is less safe if you are moving a large amount, and it leaves a gap if you need to pay something before you get to a branch.

Timing: when payments clear and when to close the old account

Do not close your old account until you are certain all regular payments have moved and no outstanding checks are still clearing. This usually takes two to four weeks after you have redirected everything.

Here is why: if a biller sends a payment to your old account after you close it, the payment will bounce, and you may be charged a fee. If you wrote a check from the old account before you switched, it might not clear for days or weeks. If you close the account too soon, the check will bounce.

To be safe, keep the old account open for at least one full billing cycle after you have moved your balance and redirected your payments. This means if you get paid monthly, wait a month. If you pay bills on the 15th of each month, wait until the 15th has passed and the payments have cleared. Then log into the old bank and close the account.

Closing your old account

Once you are confident everything has moved, close the old account. You can do this online, by phone, or in person at a branch. The bank will ask why you are closing — you can say you are switching banks. They may ask if you want to keep the account open, but you do not have to change your mind.

If there is still money in the old account, the bank will ask what you want to do with it. You can have them send you a check, transfer it to your new account, or withdraw it in cash. If there is a negative balance (you owe the bank money), you will need to pay it before closing.

After you close the account, the bank will send you a confirmation letter. Keep this for your records. If a payment tries to go to the old account after it is closed, you will get a notice from the biller, and you can show them the confirmation that the account is closed.

What to do if you have a check card or debit card

Your old bank will deactivate your debit card when you close the account. Order a new card from your new bank before you close the old account so you have it in hand and ready to use. Most banks mail cards within five to seven business days, though some offer when ready cards at the branch.

If you have checks printed with your old account number, stop using them once you switch. Any checks you write from the old account after it is closed will bounce. If you need checks for your new account, order them from your new bank or from a third-party printer.

Frequently Asked Questions

Can I switch banks without closing my old account?

Yes. Many people keep both accounts open for a while, or permanently. An old account costs nothing if you do not use it, though some banks charge monthly fees for inactive accounts. Check your old bank's fee schedule. If there is a monthly fee, closing it makes sense. If there is not, you can leave it open as a backup.

What if I forget to update a biller and they send a payment to my old account?

If your old bank's redirect service is still active, the payment will forward to your new account automatically. If the account is already closed, the payment will bounce, and the biller will contact you. Contact them when ready with your new account number so they can resubmit the payment. You may be charged a late fee, but you can ask the biller to waive it since it was their error.

How long does it take to switch banks completely?

The fastest timeline is two to three weeks if you redirect everything at once and close the old account right away. Most people take four to six weeks to be safe, keeping the old account open through at least one full billing cycle. ACH transfers take three to five business days, and some billers take a week or more to update their records.

Do I lose my account history when I switch banks?

Your old bank keeps your account history even after you close the account. You can request statements or transaction history from them for several years after closing. Your new bank will only have records of transactions that happen in the new account going forward.

What if my new bank asks for a minimum balance I cannot meet?

Some banks require a minimum balance to avoid monthly fees. If you cannot meet it, look for a bank or credit union that does not have a minimum, or ask if the bank will waive the fee. Many banks waive fees for accounts that receive direct deposits, even if the balance is low.