The basic steps to move your money and close your old account
Switching savings accounts means moving your balance to a new bank and closing the old one. The process takes two to four weeks from start to finish, though your money moves much faster than that. You will need your account number from the old bank, the routing number of the new bank, and a few minutes to set up the transfer. Most banks let you start the move online without visiting a branch.
The safest approach is to open the new account first, transfer your money, wait for the transfer to clear, then close the old account. This way you never lose access to your funds. If you close first, you risk the transfer bouncing or getting delayed, and you will have no account to fall back on.
Key Takeaways
- Open your new account before closing the old one so your money has a place to land if anything delays the transfer.
- You can start the transfer online at either your old bank or your new bank, and most transfers clear within three to five business days.
- Close the old account only after the transfer shows as complete in your new account and you have updated any automatic deposits or payments tied to it.
- If you have pending checks or automatic payments still hitting the old account, keep it open for at least 30 days after your last transaction clears.
Opening the new account and gathering what you need
Start by opening the new savings account at your chosen bank. You will need a government-issued ID, your Social Security number, and your current address. Most banks let you open an account online in about 10 minutes. Some require a minimum opening deposit, which ranges from $0 to $500 depending on the bank and account type.
Once the new account is open and active, write down two pieces of information: your new account number and the bank's routing number. The routing number is a nine-digit code that identifies your bank in the banking system. You can find it on the bank's website, on a check, or by calling customer service. You will need both numbers to pull money from your old account.
Moving money from your old account to the new one
You have two ways to transfer: you can initiate the transfer from your new bank, or you can ask your old bank to send the money. Most people find it easier to start at the new bank because you control the timing and can watch it happen in real time.
Log into your new bank's website or app and look for a link like "Transfer Money" or "Link External Account." You will enter your old account number and your old bank's routing number. The new bank will then contact your old bank and request the transfer. The money usually arrives within three to five business days. Some banks offer faster transfers for an extra fee, but standard transfers are free.
If you prefer to start at your old bank instead, call customer service or log in and request an outgoing transfer. You will provide your new bank's name, routing number, and your new account number. The old bank will initiate the push, and the timeline is the same: three to five business days.
What to do while the transfer is in progress
Once you have started the transfer, do not close the old account yet. Leave it open and untouched until the money appears in your new account and you have confirmed the balance is correct. This usually takes three to five business days, but can occasionally take longer if there is a weekend or holiday in between.
While you wait, check whether you have any automatic deposits or payments tied to the old account. This includes direct deposit from your employer, Social Security payments, automatic bill payments, or recurring transfers to other accounts. You will need to update all of these to point to your new account before you close the old one. Contact your employer's payroll department, your benefits provider, or each company you pay to give them your new account details.
If you have written checks that have not cleared yet, those will still hit the old account even after you close it. Most banks will honor checks for up to 180 days, but the money will come out of a closed account, which can trigger overdraft fees or bounced check fees. If you know checks are still outstanding, keep the old account open until you are sure they have all cleared.
Closing the old account safely
Close the old account only after all three of these are true: the transfer has cleared and shows in your new account, you have updated all automatic deposits and payments, and any outstanding checks have cleared. This usually means waiting at least 30 days after your last transaction on the old account.
You can close the account online if your bank offers that option, or call customer service and ask to close it. The bank may ask why you are leaving. You do not have to explain, but if you want to, keep it simple: "I found a better rate" or "I am consolidating accounts." Some banks will offer to match a competitor's rate or waive fees to keep you. Decide in advance whether you would stay if they made an offer, so you do not make a decision in the moment.
Ask the bank to confirm the account is closed and to send you written confirmation by email or mail. This creates a record in case any transactions try to hit the account after closure. Keep this confirmation for your records.
Handling money that is still in the old account
If you close the account and there is still a small balance left, the bank will send it to you by check or to your new account if you provided that information. This usually takes one to two weeks. Some banks charge a fee to close an account with a remaining balance, though most do not. Ask before you close whether there is a closure fee.
If the old bank is closing your account for inactivity or other reasons before you are ready, they will send your balance to you by check. The check will be mailed to the address on file. If you have moved, update your address with the old bank before closing so the check goes to the right place. If you do not receive it within 30 days, contact the bank and ask them to reissue it or transfer it to your new account.
What to do if the transfer gets stuck or delayed
Transfers usually clear within three to five business days, but occasionally one takes longer. If more than five business days have passed and the money has not arrived, log into your new bank account and check the transfer status. Most banks show whether a transfer is pending, completed, or failed.
If it shows as failed, the new bank will tell you why. Common reasons include a wrong account number, a wrong routing number, or a mismatch between the name on the old account and the name on the new account. Contact your old bank to confirm the correct account number and routing number, then start a new transfer with the correct information.
If the transfer shows as pending after seven business days, contact your new bank's customer service. They can check with the old bank to see where the money is. Do not close the old account while a transfer is pending. Wait until it completes or fails before taking any action.
Frequently Asked Questions
Can I transfer money if I have a negative balance in my old account?
No. You must bring the account to zero or positive before you can transfer. If there is a negative balance, pay it off first, then start the transfer. Some banks will let you transfer the remaining balance after you cover the overdraft.
What if my old bank and new bank are the same company?
If you are moving between two accounts at the same bank, the transfer is usually instant or takes one business day. You can often do it through the bank's website by linking the two accounts. Call the bank to confirm the fastest method.
Do I lose interest if I move money mid-month?
Interest is usually calculated daily and paid monthly, so moving money mid-month does not affect the interest you have already earned. You will receive interest on the old account through the day it closes, and interest on the new account starting the day the transfer arrives.
What happens to my debit card when I close the old account?
Your debit card for the old account will stop working once the account closes. If you want to keep using a debit card, request one from your new bank before you close the old account. Most banks issue a new card within five to seven business days.
Can I transfer money to someone else's account instead of my own?
No. Bank transfers between accounts must have the same name on both accounts. If you want to send money to someone else, use a wire transfer, a peer-to-peer payment app, or a cashier's check instead.