Transferring Money and Closing Bank Account

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lilblu
Posts: 8
Joined: Fri Jun 29, 2018 2:23 pm

Transferring Money and Closing Bank Account

Post by lilblu » Thu Jul 19, 2018 10:31 pm

I need to close a checking account at a local bank. They're closing their local branch and it will be inconvient to continue banking there, especially since they don't have online banking. Can anyone tell me the best way to transfer my money (around $5,000) to my checking account at another local bank? Is cashier's check the best way? Wire transfer? I'm not even sure this bank does wire transfers. The person who works at my new bank said to just get a cashier's check. Apparently they've had lots of people transferring there from the branch that's closing.

The other issue is when to close this account. Is it best to wait until the money transfers? Then go back and close it out?

This account does not have any payments or anything associated with it, it's just for deposits only. So at least I don't have to worry about that.

doneat53
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Re: Transferring Money and Closing Bank Account

Post by doneat53 » Thu Jul 19, 2018 10:47 pm

set up an ACH transfer (there should be a way to link your local bank to the transfer bank). It might take a few days, usually once you link the banks with a routing number the bank will transfer a few cents in to transfer and have you report the amounts to them to confirm you own the transferring account. then you should be able to transfer the balance and close the account.

123
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Re: Transferring Money and Closing Bank Account

Post by 123 » Thu Jul 19, 2018 11:26 pm

I think it's easiest to simply walk into the branch and say you want to close the account and have them immediately issue you a check for the account proceeds. You're done in less than 30 minutes and can be on your way.
The closest helping hand is at the end of your own arm.

stlutz
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Re: Transferring Money and Closing Bank Account

Post by stlutz » Fri Jul 20, 2018 12:04 am

Why not write a check? Then close the old account and take the remaining few dollars as cash.

ivk5
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Re: Transferring Money and Closing Bank Account

Post by ivk5 » Fri Jul 20, 2018 1:56 am

I typically close accts like this by drawing out the full balance down to the penny. In my experience the bank will auto-close a zero-balance acct after a statement cycle or two. If they don't, you can call / online msg / walk in and direct them to close it.

As for how to remove the balance- nothing wrong with writing check to yourself and depositing in new acct, ACH push to the new acct (if it's free and you know how), ACH pull from the new acct (ditto), or in a pinch withdraw cash and walk to other bank to deposit.

Wire transfer and cashier's check are likely to have unnecessary fees.

SR II
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Re: Transferring Money and Closing Bank Account

Post by SR II » Fri Jul 20, 2018 2:04 am

Just did this last week, due to an out of state move. Went in. Told them I wanted to close by account. They asked if I would like cash or a cashier's check. I said a cashier's check. They made out the cashier's check and gave me a printout that showed the account was closed. I left.

When I got home, I deposited the cashier's check in my new local bank.

Done.

student
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Re: Transferring Money and Closing Bank Account

Post by student » Fri Jul 20, 2018 5:22 am

ivk5 wrote:
Fri Jul 20, 2018 1:56 am
I typically close accts like this by drawing out the full balance down to the penny. In my experience the bank will auto-close a zero-balance acct after a statement cycle or two. If they don't, you can call / online msg / walk in and direct them to close it.

As for how to remove the balance- nothing wrong with writing check to yourself and depositing in new acct, ACH push to the new acct (if it's free and you know how), ACH pull from the new acct (ditto), or in a pinch withdraw cash and walk to other bank to deposit.

Wire transfer and cashier's check are likely to have unnecessary fees.
If you leave a few pennies in the account and don't close the account proactively, doesn't the bank charge a low balance fee?

student
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Re: Transferring Money and Closing Bank Account

Post by student » Fri Jul 20, 2018 5:28 am

First, I would find out whether the bank has any low balance fee. If not, then you can write yourself a check or ACH all but a few pennies and let the back closes it on its own, as some others have suggested. If the bank has a low balance fee, then you can write yourself a check or ACH all but the minimum amount. Then go in to the bank and close the account by withdrawing in cash.

Personally, I would do it in one step by taking the $5,000 in cash (with the intention of driving to the other bank immediately) or just take the cashier's check (if the fee is up to $5).

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Tamarind
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Re: Transferring Money and Closing Bank Account

Post by Tamarind » Fri Jul 20, 2018 6:11 am

I'd just call or walk in. I did this recently by phone and the bank mailed me a regular check. If you're used to going in to the branch, get a cashier's check. NBD.

mouses
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Re: Transferring Money and Closing Bank Account

Post by mouses » Fri Jul 20, 2018 6:23 am

Just write and take a personal check to the new bank and deposit it there. Wait until it clears. Then phone up the old bank and ask them to close the account. I see no need to mess with cashiers checks or wait for the mail or an electronic transfer. I'm sure they have probably a hundred people already doing this.

How odd that the bank is closing a branch. In my area new branches are appearing.

Topic Author
lilblu
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Joined: Fri Jun 29, 2018 2:23 pm

Re: Transferring Money and Closing Bank Account

Post by lilblu » Fri Jul 20, 2018 1:24 pm

The only problem with writing a personal check is that I never got any printed. I still have my starter checks from 15 years ago. This was a deposit only account. Do you think there would be an issue with my new bank if I used a starter check from the old bank? I guess I could call them.

McDougal
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Re: Transferring Money and Closing Bank Account

Post by McDougal » Fri Jul 20, 2018 1:32 pm

No problem using starter checks. A check is a check. Has the right routing and account numbers, that's all that matters. As others have said, easiest is to walk in, ask to have the account closed, they will give you a check. Easy peasy.

AerialP
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Location: Central Kentucky

Re: Transferring Money and Closing Bank Account

Post by AerialP » Fri Jul 20, 2018 1:37 pm

This is a timely post for me as I too have been eyeing an exit from my longterm banking institution and consolidating to a local credit union.
Thanks for the extra nudge, confirming how easy (& satisfying) this task will be.

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