You can convert a BMO checking account to savings, but BMO does not offer a direct conversion—you will need to open a new savings account and move your money over
BMO treats checking and savings as separate products with different features and fee structures. If you want to switch from checking to savings, you cannot simply flip a switch on your existing account. Instead, you open a new BMO savings account, transfer your balance from checking to savings, and then close the checking account if you no longer need it.
The process takes a few days for the transfer to complete, and you will keep both account numbers during the transition. This matters because any automatic payments or direct deposits tied to your checking account will keep going to that account until you update them with the new savings account number.
Key Takeaways
- BMO requires you to open a separate savings account rather than converting your existing checking account in place.
- You can transfer money between your own BMO accounts instantly online, though the receiving account must be set up first.
- Any recurring payments or direct deposits will continue hitting your old checking account unless you update them with your new savings account number.
- You can close your checking account once you have moved all your money and updated your payment sources, but there is no penalty for keeping both open.
- BMO savings accounts have different monthly fees and interest rates depending on the product you choose, so compare options before opening.
How to open a new BMO savings account
Log into your BMO online banking or mobile app and look for the option to open a new account. BMO offers several savings products: BMO Savings Account (the basic option), BMO Premium Savings Account, and BMO SmartSaver Account. Each has different monthly fees, minimum balance requirements, and interest rates. Review the current terms for each before you choose, because these change and vary by state.
You can open a new savings account online in minutes if you are already a BMO customer. You will need to provide your Social Security number, confirm your identity, and choose which savings product fits your situation. Once the account is open, it will appear in your online banking dashboard alongside your checking account.
Moving money from checking to savings
After your savings account is open, transfer your checking balance to it. In BMO online banking, go to Transfers, select your checking account as the source, and your new savings account as the destination. Enter the amount and confirm. The transfer typically completes the same day or within one business day.
If you prefer to move money in person, visit a BMO branch with your ID and ask a teller to transfer funds between your accounts. This is instant and gives you a receipt. You can also set up a standing transfer if you want to move money on a regular schedule going forward.
Updating automatic payments and direct deposits
Before you close your checking account, identify every payment and deposit tied to it. Check your recent statements for automatic bill payments, subscription charges, and payroll direct deposits. Each one will keep going to your checking account until you change it.
For payroll, contact your employer's HR or payroll department and provide your new savings account number and routing number. For automatic bill payments, log into each biller's website or call them directly to update your account information. For subscriptions, update your payment method in each service's account settings. This step takes time but prevents missed payments or deposits going to the wrong place.
Closing your checking account
Once you have moved all your money and updated your payment sources, you can close the checking account. You can do this online in BMO's banking portal, by calling BMO customer service at the number on the back of your debit card, or by visiting a branch in person. Closing online is fastest and requires no paperwork.
BMO will not charge you a fee to close a checking account. If your account has a negative balance, you will need to pay that amount before closure. After closure, the account number becomes inactive and cannot receive deposits or payments.
Fees and interest rates for BMO savings accounts
BMO's basic Savings Account typically has a low monthly maintenance fee (often waived if you maintain a minimum balance) and earns interest on your balance. The Premium Savings Account has a higher fee but may offer better interest rates or waived fees at higher balances. The SmartSaver Account is designed for frequent savers and may have different fee structures.
Interest rates and fees change regularly and vary by location and account type. Before opening, check BMO's current rates on their website or ask a representative. Compare the monthly cost against the interest you will earn—if your balance is small, the interest may not offset the fee, and a no-fee account might be better.
What happens to your debit card and checks
Your checking account debit card will stop working once you close the account. If you need a debit card for your savings account, BMO can issue one, though some savings accounts do not come with a debit card by default. Ask when you open the account or call to request one.
If you have checks linked to your checking account, they will bounce after closure. Do not write checks against a closed account. If you need checks, you can order them for your savings account, though many people no longer use checks and skip this step.
Frequently Asked Questions
Can I keep both my checking and savings account open?
Yes. There is no requirement to close your checking account once you open savings. Some people keep both for different purposes—checking for daily spending and savings for money they want to set aside. You will pay fees on both accounts if applicable, so review the cost before deciding.
How long does the transfer from checking to savings take?
Transfers between your own BMO accounts are usually instant or complete within one business day. If you initiate the transfer after business hours or on a weekend, it may not process until the next business day. Check your account the next morning to confirm the money arrived.
What if I have automatic payments set up and forget to change them?
Payments will continue going to your old checking account. If the account is closed, the payment will be rejected and you may face late fees from the biller. Contact the biller immediately to explain and provide your new account number. Most will reprocess the payment once you update your information.
Do I need to close my checking account if I open savings?
No. You can keep both open indefinitely. However, if you are not using checking anymore, closing it simplifies your banking and eliminates any monthly maintenance fee. If you think you might need checking again later, you can leave it open with a zero balance.
Will opening a savings account affect my credit score?
No. Opening a savings account is not a credit inquiry and does not appear on your credit report. BMO may do a soft check of your banking history to verify your identity, but this does not impact your credit score.