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There's a lot to think about when opening a new bank account, like what features it offers and how you're going to access your cash. But just as important is knowing how to transfer money to another bank. There are a few ways you can go about this, and we'll talk about each of them below.
There are several ways to transfer your money from one bank account to another, whether the new account is at the same bank or a different one. Usually, all you have to do is tell the bank that currently has your money where you'd like it sent and it will move it for you. But to do this, you need to know two things: your routing number and your account number.
Your routing number corresponds to the institution that's holding your money. You can often find your routing number by:
Your account number identifies your personal account within that bank. This can be 10 or more digits long, depending on the bank.
You can find yours as the second number written on the bottom of your checks or you can contact your bank to ask. You may need to answer some personal questions to verify your identity before the bank will give you this information.
Make sure you're getting the best account for you by comparing savings rates and promotions. Here are some of our favorite high-yield savings accounts to consider.
Account | APY | Promotion | Next Steps |
---|---|---|---|
Open Account for SoFi Checking and Savings
On SoFi's Secure Website.
Rating image, 4.50 out of 5 stars.
4.50/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best = Excellent = Good = Fair = Poor |
up to 4.20%²
Rate info
You can earn the maximum APY by having Direct Deposit (no minimum amount required) or by making $5,000 or more in Qualifying Deposits every 30 days. See SoFi Checking and Savings rate sheet at: https://www.sofi.com/legal/banking-rate-sheet.
Min. to earn: $0
|
New customers can earn up to a $300 bonus with qualifying direct deposits!¹
|
Open Account for SoFi Checking and Savings
On SoFi's Secure Website. |
Open Account for American Express® High Yield Savings
On American Express's Secure Website.
Rating image, 4.00 out of 5 stars.
4.00/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best = Excellent = Good = Fair = Poor |
4.00%
Rate info
4.00% annual percentage yield as of November 3, 2024
Min. to earn: $0
|
N/A
|
Open Account for American Express® High Yield Savings
On American Express's Secure Website. |
Open Account for Capital One 360 Performance Savings
On Capital One's Secure Website.
Rating image, 4.50 out of 5 stars.
4.50/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best = Excellent = Good = Fair = Poor |
4.00%
Rate info
See Capital One website for most up-to-date rates. Advertised Annual Percentage Yield (APY) is variable and accurate as of Oct. 23, 2024. Rates are subject to change at any time before or after account opening.
Min. to earn: $0
|
N/A
|
Open Account for Capital One 360 Performance Savings
On Capital One's Secure Website. |
There are four ways you can transfer funds between banks. Here's a closer look at the pros and cons of each.
Electronic transfers are the simplest option for most people and they're free. All you need is:
When you do an electronic transfer to another account at the same bank, it's often instant. But when you transfer funds to another bank, it can take up to three business days.
Plus, many banks limit how much their customers can transfer per day or per month. Oftentimes, these limits are several thousand dollars, so they should be enough for most people. But those looking to transfer large sums at once may have to explore some other options.
If you want to electronically transfer funds to another bank, follow these steps:
Wire transfers are an alternative if you need to access your funds quickly or if you need to transfer large sums at once. These are similar to electronic transfers, but they happen much faster. Most domestic transfers can be processed on the same day.
TIP
Many banks charge fees for outgoing wire transfers and some charge for incoming wire transfers as well. Wire transfers can also be difficult to stop if you change your mind after you've initiated them.
If you want to move funds via wire transfer, take these steps:
Zelle is a popular money transfer app used by many U.S. banks and credit unions. It doesn't have fees, and transfers between banks are often instant.
Learn more: Full Zelle Review
If you're not comfortable banking online, you may decide to move your funds via a check transfer. This is where you write a check from your current bank account and deposit that check into your new bank account. You need a checkbook to do this and your current account must offer check-writing capabilities.
Security is also a little more of a concern here because if you lose your check, there's a possibility that someone else could find it and use it to steal your money. Another issue for those depositing large checks is that you may only get access to a portion of your funds right away. It can take a few days for your bank to release all the funds to you.
Here are the steps to transfer your money to another bank with a check:
Here are a couple things to keep in mind when moving money between banks.
Before you send money using any of the methods above, make sure you've entered all of your information correctly, especially your account number. If you accidentally transfer your funds to someone else, you may not be able to get them back.
If you do inadvertently send money to the wrong place, reach out to the bank to see if you can stop the transfer before it completes.
When moving your money out of a savings account, you could face excess withdrawal fees if you make more than six withdrawals in a month. This is because of a federal law known as Regulation D that required this limitation on savings accounts.
It's worth noting that not all withdrawals are created equal. The six monthly withdrawal rule usually only applies to "convenient" withdrawals, such as:
But withdrawing money at a bank branch or taking cash out at an ATM doesn't count toward these limits.
If you have any questions about transaction limits or what kind of fees you could face for moving money out of your savings account, reach out to your bank to ask.
Many people are missing out on guaranteed returns as their money languishes in a big bank savings account earning next to no interest. The Ascent's top savings account picks can earn you more than 10x the national average savings account rate.
The best way to transfer your money depends on your needs and goals. For most people, electronic transfers are the way to go because they are safe and free.
Wire transfers can move your money quickly, but you'll usually pay a fee for this convenience. Some money transfer apps also allow for instant transfers, again at a cost.
Transferring your money electronically is usually pretty safe, assuming you've got the routing and account numbers correct.
We're firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers. The Ascent, a Motley Fool service, does not cover all offers on the market. The Motley Fool Ascent is 100% owned and operated by The Motley Fool. Our knowledgeable team of personal finance editors and analysts are employed by The Motley Fool and held to the same set of publishing standards and editorial integrity while maintaining professional separation from the analysts and editors on other Motley Fool brands.