4 Steps to Follow When You Decide to Switch Banks



October 15 , 2014 | Posted by primo banks | No Comments

4 Steps to Follow When You Decide to Switch Banks

There are numerous ways to conduct your banking today.  This makes choosing the best option an important step to saving more money.  Finding a bank with lower fees can possibly save you hundreds over the course of a year.

On average online banks have lower checking account fees compared to traditional banks.  If you prefer a brick and mortar bank, the cost of fees should be an important factor in your decision to switch.  Banks are required to disclose their fees when you open a new account, but only 1 out of 2 banks post their fees online making it difficult for consumers to compare.

When you do find a bank that’s right for you these 4 steps from thesimpledollar help make the transition to a new account hassle free.steps-925012_640

  1.  Open up the new account at the bank you’ve selected. You can ask your new bank for a switch kit to help you get started. A switch kit includes bank forms that help you transition to your new account.

2.  Transfer your direct deposits and automatic bills to the new account. Do not transfer the entire balance in the old account. You should leave a significant amount of cash in there so that if automatic bills are deducted from that account, you aren’t hit with overdraft fees.

3.  Check your old account regularly for deductions.  It’s easy to forget about any automatic bills that were previously set up. When you see one go through and switch that transfer to the new bank.

4.  After several months, close out the old account. Transfer the money from that account and have the account closed. You want to hold out for at least a few months to make sure that you’re not forgetting any automatic transfers.

More and more banks allow you to open a new account online, which makes switching banks fairly simple.  You will still have to provide personal information like your birth date and social security number, but the overall process is more convenient.

Also read How To Switch Banks in 5 Easy Steps @ Forbes.com.

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