Yes, you can transfer your savings account to another bank, and the process is straightforward

Moving a savings account from one bank to another is a standard transaction that banks handle regularly. You have two main paths: transfer the money yourself, or ask your new bank to pull the funds directly from your old account. The second option—called an ACH transfer or bank-to-bank transfer—is faster and requires less manual work on your part. Most transfers complete within one to three business days, though some banks offer expedited options that settle in 24 hours.

The key decision is whether to close your old account when ready or keep it open for a few days after the transfer clears. Keeping it open briefly protects you if something goes wrong in transit. Once you confirm the money arrived in your new account, you can close the old one.

Key Takeaways

  • You can move money between savings accounts at different banks using an ACH transfer, which typically takes one to three business days and costs nothing.
  • Your new bank can initiate the transfer directly from your old account if you provide your old account number and routing number.
  • Keep your old account open for at least one business day after the transfer completes to catch any problems before closing it.
  • If your old bank charges a closure fee, confirm whether it applies if you close within 30 days of opening—some banks waive it for transfers.
  • Recurring payments and automatic deposits tied to your old account will stop working once you close it, so update those before you transfer.

How to transfer money using your new bank

The easiest method is to let your new bank pull the funds. Log into your new bank's online platform or mobile app and look for an option labeled "Transfer funds," "Link account," or "Move money." You will be asked for your old bank's routing number and your old account number. Both appear on the bottom left of any check from that account, or you can call your old bank's customer service line to confirm them.

Once you enter those details, your new bank will verify the account by sending two small test deposits (usually under $1 each) to your old account. You then confirm the amounts in your old bank's system to prove you own both accounts. After verification, you can initiate the full transfer. The money typically moves within one to three business days. Some banks, including many online banks, offer next-business-day transfers for an additional fee, though many do not charge extra.

During this process, your old account remains active and accessible. You can still withdraw money or receive deposits there. The transfer does not freeze or lock your account.

How to transfer money yourself

If you prefer to move the money without involving your new bank, you can withdraw it from your old account and deposit it into your new one. This works well for smaller amounts or if you want when ready access to the funds. You can withdraw cash and deposit it in person, or you can transfer money yourself using your old bank's online platform.

To transfer yourself online, log into your old bank's system and look for "Send money," "External transfer," or "Pay to another account." You will enter your new bank's routing number and your new account number. The transfer typically takes one to three business days. This method gives you a record of the transfer in your old account's history, which can be useful if you need to prove the money moved.

The downside is that you are responsible for entering the correct account and routing numbers. A mistake could send money to the wrong account, and recovering it takes longer than if your bank had initiated the transfer.

What happens to your old account after the transfer

Once the transfer completes and you confirm the money is in your new account, you can close your old account. Contact your old bank by phone, in person, or through their online platform to request closure. Some banks allow you to close online; others require a phone call or in-person visit. Ask whether there is a closure fee—most banks do not charge one, but some do if you close within 30 days of opening.

Before you close, make sure no automatic payments, bill pay arrangements, or recurring deposits are still tied to that account. If you have direct deposit set up there, update your employer or the organization sending the deposit so it goes to your new account instead. If you have automatic bill payments scheduled, change those to your new account or cancel them and set them up again with your new bank. Closing an account with active automatic transactions can cause payments to fail or bounce.

After closure, you will no longer be able to access the account or receive statements. Your old bank will keep records for a set period (usually seven years) in case you need to reference old transactions for tax or dispute purposes.

Timing and what to expect during the transfer

Standard ACH transfers take one to three business days. This means if you initiate a transfer on a Monday, the money might arrive Tuesday or Wednesday. Transfers initiated on Friday or over a weekend do not begin processing until Monday, so the timeline extends accordingly. Holidays also pause processing.

During the transfer, the money leaves your old account but has not yet arrived in your new account. This is normal and temporary. If you are moving a large amount and need the funds urgently, ask your new bank whether they offer expedited transfers. Some charge a flat fee ($10 to $25) for next-business-day delivery. Others offer it free to certain account types or balances.

Once the money arrives in your new account, it is yours to use when ready. You do not need to wait for any additional clearing period. At that point, it is safe to close your old account.

Special situations: joint accounts, CDs, and money market accounts

If your savings account is a joint account, both account holders typically must authorize the transfer or closure. Check your old bank's policy—some require both signatures, others allow one authorized person to act. If you are unsure, call and ask before you start the process.

If you have a Certificate of Deposit (CD) or money market account instead of a regular savings account, the transfer process is the same, but timing may differ. CDs have maturity dates, and withdrawing early usually triggers a penalty. If your CD has not matured, you can still transfer it, but you will owe the early withdrawal penalty. Money market accounts transfer like regular savings accounts and have no penalty.

If you want to move a CD to a new bank without paying a penalty, wait until it matures. Then withdraw the funds and deposit them into a new CD at your new bank. Some banks will waive the early withdrawal penalty if you are transferring to another institution, so it is worth asking your old bank before you assume you will pay.

What to do if the transfer fails or gets stuck

Transfers occasionally fail if account numbers are entered incorrectly, if the account is closed, or if there is a mismatch between the name on the account and the name provided during transfer. If your transfer does not arrive within the expected timeframe, contact your new bank first. They can check the status and tell you whether the money is still in transit, rejected, or returned to your old account.

If the transfer was rejected, your new bank will explain why. Common reasons include a typo in the routing number, an account that does not exist, or a name mismatch. Once you know the reason, you can correct it and try again. If the money was returned to your old account, it will reappear there within one to two business days.

If you initiated the transfer yourself (rather than having your new bank do it), contact your old bank to track it. They can confirm whether the money left your account and where it was sent. If it went to the wrong account, your old bank can file a trace to recover it, though this takes longer than a standard transfer.

Frequently Asked Questions

Will closing my old account affect my credit score?

No. Closing a savings account does not appear on your credit report and does not affect your credit score. Credit reports track borrowing and repayment history, not deposit accounts. You can close a savings account without any impact on your credit.

Can I transfer money if I owe the bank money or have an overdraft?

If you have an overdraft or owe fees, your old bank may hold the funds or deduct what you owe before releasing the transfer. Contact your old bank to ask about any outstanding balance. If there is a hold, you will need to pay it before the transfer can complete, or the bank will deduct it from the transfer amount.

What if my new bank and old bank are the same institution?

If you are moving money between two accounts at the same bank, the transfer is usually when ready or completes within hours. You can often do this through the bank's online platform by selecting "Transfer between my accounts." No routing number is needed. Close the old account once the money arrives.

Do I need to report the transfer to the IRS or for tax purposes?

No. Moving money between your own accounts is not a taxable event and does not need to be reported. The IRS only cares about interest earned on the account, which your bank reports on a 1099-INT form. The transfer itself is straightforward moving your own money.

How long should I wait before closing my old account?

Wait at least one business day after the transfer completes and you confirm the money is in your new account. This gives you time to catch any problems. If the transfer fails or reverses for any reason, you will still have access to your old account to investigate. After one to two days of confirmation, it is safe to close.