You can close a bank account by contacting your bank directly, but you need to settle what you owe first and move your money out
Closing a bank account is straightforward if you follow the right order. The basic steps are: move your money to another account, set up any automatic payments to come from a different bank, tell the bank you want to close the account, and confirm it is closed. Most banks let you close an account online, by phone, or in person. The whole process usually takes a few days to a week, though some banks take longer to process the final closure.
The reason order matters is that you cannot close an account that still has money in it, and you cannot leave automatic payments hanging. If you skip these steps, the bank will either refuse to close it or will charge you fees for overdrafts after closure.
Key Takeaways
- Move all your money out of the account before you ask to close it, or the bank will refuse the request.
- Change the bank details on any automatic payments (paychecks, bills, subscriptions) so they do not try to pull from the closed account.
- Contact your bank by phone, online, or in person to request closure, and ask for written confirmation once it is done.
- Check your credit report a few weeks later to make sure the account shows as closed and does not appear as a missed payment.
Step 1: Move Your Money to Another Account
Before you can close the account, you need to empty it. Transfer all the money to another bank account — either one you already have or a new one you open elsewhere. You can do this by setting up a transfer through your current bank's website or app, asking the bank to do it for you, or withdrawing the cash and depositing it somewhere else.
If you have a very small balance (under $25), some banks will let you leave it and close the account anyway, but do not count on this. Ask your bank what their policy is. If there is a balance left when you request closure, they will straightforward say no and you will have to come back after the transfer clears.
Step 2: Redirect Automatic Payments and Direct Deposits
Any money coming into the account — like your paycheck or a government benefit — needs to go somewhere else. Log into the website or app where you set up direct deposit (your employer's payroll system, Social Security, your state's unemployment office) and change the bank details to your new account. This usually takes a few minutes and takes effect within one or two pay cycles.
Do the same for any automatic payments going out: subscriptions, insurance premiums, loan payments, utilities. Log into each one and update the bank account number. If you miss one, the payment will bounce, and you could face late fees or service interruptions. Write down every automatic payment you have and check them off as you update them.
Step 3: Contact Your Bank to Request Closure
Once the account is empty and your automatic payments are moved, contact the bank and ask to close the account. You can do this by:
- Logging into your online banking and looking for a "close account" or "account settings" option
- Calling the customer service number on the back of your debit card or on your bank statement
- Walking into a branch in person with your ID
The bank may ask why you are closing it. You do not have to give a detailed reason — "I am moving to another bank" is enough. They may try to convince you to stay by offering a higher interest rate or waiving fees. You can listen or decline; the choice is yours.
Step 4: Confirm the Account Is Closed
Ask the bank for written confirmation that the account is closed. This might come as an email, a letter in the mail, or a note in your online banking portal. Do not assume the account is closed just because you asked. Some banks take several business days to process the closure, and you want proof in case a problem comes up later.
Keep this confirmation for your records. If the bank tries to charge you a fee after closure or if the account appears on your credit report as unpaid, you will have proof that you closed it properly.
Step 5: Check Your Credit Report a Few Weeks Later
A few weeks after closure, check your credit report to make sure the account shows as closed and does not appear as a missed payment or default. You can get a free credit report once a year from each of the three major credit bureaus (Equifax, Experian, and TransUnion) at annualcreditreport.com. This is the only free source that is officially run by the credit bureaus themselves.
If the account shows up incorrectly — for example, as unpaid or delinquent — contact the credit bureau in writing and dispute it. Include a copy of your closure confirmation. The bureau has 30 days to investigate and correct the error.
What Happens If You Close an Account With a Negative Balance
If you owe the bank money when you try to close the account, the bank will not close it until you pay what you owe. This usually happens if you had overdraft fees or if a check bounced. Pay the balance in full, then request closure again.
If you close an account and then the bank discovers you owed money, they will send you a bill. If you ignore it, the debt can be reported to a collection agency and appear on your credit report. Pay any balance the bank tells you about, even if you thought the account was already closed.
Frequently Asked Questions
Will closing my bank account hurt my credit score?
Closing a bank account itself does not affect your credit score because banks do not report checking or savings accounts to credit bureaus. However, if you leave the account with a negative balance and do not pay it, that debt can be sent to a collection agency, which will hurt your score. Pay any balance before closure.
Can I close my account online or do I have to go to a branch?
Most banks let you close an account online or by phone. Some require you to visit a branch in person, especially if the account has unusual features or if there is a dispute. Call your bank's customer service number to ask which method they accept.
How long does it take for a bank account to close?
Most banks close an account within a few business days of your request. Some take up to a week. Ask the bank for a specific timeline when you request closure. Until you get written confirmation, assume the account is still open.
What if I closed my account but a payment still tries to go through?
If a company tries to pull a payment from a closed account, the transaction will be rejected and you will likely be charged a fee by that company (not the bank). This is why it is important to update all automatic payments before closure. If it happens, contact the company and provide proof that you updated your bank details.
Do I need to close my account in person if I opened it online?
No. Online banks can be closed online, by phone, or by mail. You do not need to visit a physical location. Check your bank's website for the closure process, or call the number on your statement.