While loyalty can earn you some benefits with your bank, it can be necessary to switch banks at certain times in your life. Whether you’re moving to a new area, or you don’t feel as though your current bank cares about its customers, finding a new bank is sometimes the best choice. However, before you do make that switch, here are a few things to keep in mind.
Choose the Right Bank
Take your time to pick your new bank, because you’ll want to develop a long-lasting relationship with them. You should check to see how many ATM locations and full branch offices they have throughout your city. You should also find out if they have online banking and ask one of their officers to show you the user experience. Some banks are still struggling to get the online banking experience right, so this is an important detail to consider.
Check Those Fees
You’ll also want to learn as much as you can about fees. You can still find banks that offer free checking, so look into those options first. Additionally, compare overdraft and ATM fees to limit how much you’ll be expected to pay to use the account. Some banks also charge a fee for closing the account, so be sure to ask about that and any other additional fees.
Don’t Forget to Notify Third-Parties of the Change
If you have any automatic payment withdrawals, forgetting to notify those companies about the change of financial institutions may lead to them drawing from the wrong account. In addition to the inconvenience, this can cause payments to be late. Similarly, any direct deposit payments you receive may go to the wrong bank or may be refused as a result of the account closing. It’s a good idea to review your bank statements for the previous few months to find out who is depositing or withdrawing funds on your account so that you can submit the changes to them.
When switching banks, don’t forget to close your former bank account. Failing to close the account can subject you to fees because bank accounts don’t close from a lack of use. This is a crucial step to remember, so you can focus on developing a happier relationship with your new bank.