Changing Financial Institutions: 5 Easy Steps
It is not easy to change financial institutions. There is the inconvenience of transferring large sums of money, and of course, the fear that an important check or payment will bounce in the process. The thought of changing financial institutions can be daunting, but it doesn’t have to be. Here are five easy steps to make your transition smooth and painless:
Do Your Research
Before you consider changing financial institutions, research which ones are right for you. Determine what is important to you and search for financial institutions that align with your criteria. Some things to consider are security, accessibility, account costs, mobile banking options and interest rates.
Stop Using Your Current Financial Institution
After you have selected a new financial institution, you should begin cutting ties with your current bank or credit union and stop using it as your primary source of money for payments. To do so, take out enough cash to live on for a few days (plus money to open a new account with) and use it instead of debit cards or checks. Make sure to leave enough money in the account to stay above the minimum balance to avoid fees until you close it completely.
Open Your New Account
Once you have withdrawn enough money out of your current financial institution, begin the process of opening your new account. You can make transfers or cash deposits, but be sure to keep your old account open until your new one is fully set up.
Set Up Payments
Now that you’ve opened your new account, you can begin setting up automatic payments and direct deposit. You should also link any other online payment systems to your new account.
Close Your Old Account
After you have completed these steps, review your old account to be sure all payments have cleared. When you are sure there are no outstanding debits or deposits, proceed with closing your account.
For more information on switching financial institutions or the benefits of switching to a credit union, stop by FSU Credit Union or call (850) 224-4960.