How to transfer money from one bank to another to earn more interest

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  • You can transfer money from one bank to another using a paper check, bank-to-bank transfer, ACH transfer, or wire transfer.
  • For any type of electronic transfer, you will need the account and routing numbers of the account you wish to deposit the money into.
  • You can also make a transfer by check, for which you will only need the name of the recipient (which can be yourself).
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There are countless reasons why you may want to transfer money from one bank to another. You might like to combine your finances with your new spouse or start earning more interest by transferring your money to another bank.

Fortunately, the process of transferring money from one bank to another is quite straightforward. You can write a check, make a wire transfer, make an ACH transfer, or initiate a wire transfer. Here’s how you can transfer money with each of these methods.

How to transfer money from one bank to another

Transfer money by writing a check

If you prefer to transfer money the old-fashioned way and are in no rush to transfer it to the other account, writing a check may be a good option.

  1. Take a check from the bank you want to transfer money from and fill it out as you normally would.
  2. If you are transferring money to your own bank account, write your name in the “Pay to the order of” line. If the money is going to someone else’s account, fill in this line with the recipient’s name.
  3. Sign the back of the check and deposit the money into your own account by visiting a local bank branch or an ATM. Many banks also allow you to make an electronic deposit by taking a photo of the front and back of your check and depositing the money through the bank’s app on your mobile device.
  4. If you want to transfer the money to someone else’s account, just send them the check and let them deposit it.

Transfer money by bank-to-bank transfer

If you want to transfer money from your account with one bank to your account with another bank, you can do it easily online with a bank-to-bank transfer. Note that the exact process may vary a bit between banks, but in general the steps are the same:

  1. Log in to the bank you want to transfer money from.
  2. Look for an option that says “transfer” or “pay and transfer.”
  3. If you’ve already added another account, just select it as your destination from a drop-down menu.
  4. If you haven’t added the new account, choose the option that says “Add New Account” or “Add New Bank” from the drop-down menu.
  5. The site will ask you to add your other account number and the routing number.
  6. Then the first bank should verify your account, often by making two or three small deposits, less than $ 1, to the account receiving the money.
  7. Check the receiving account over the next few days to take note of the deposits.
  8. Once these deposits are made, usually within a business day or two, you will log back into your first bank account to verify the amount deposited.
  9. Once your other account is verified, you can use the same screen to schedule a one-time or recurring transfer to the receiving bank.
  10. It will usually take one to three business days for your transfer to complete, so be sure to verify that your account has been debited and the receiving account has been credited.

Transfer money using an ACH transfer

An ACH transfer transfers money between banks through the Automated Clearing House network, one of the largest payment systems in the United States. ACH transfers are almost always free.

  1. Create an ACH account with your bank in person or online.
  2. When you’re ready to make a payment, you’ll need to provide the following information:
  • Amount you want to transfer
  • The recipient’s nine-digit routing number
  • The recipient’s ten-digit account number
  • The recipient’s name
  • Recipient’s billing address
  • The recipient’s phone number
  1. Check your payment information and submit it for processing.
  2. Wait for the funds to arrive within two to three business days. Arrival time will depend on your bank.

Transfer money by wire transfer

With a wire transfer, you can transfer money from one bank to another within one business day. However, wire transfers typically cost between $ 10 and $ 35 to initiate. A wire transfer can make sense if your goal is to transfer the money to the other account as soon as possible.

  1. Go to your local bank or go online and provide the following information:
  • Amount you want to transfer
  • The recipient’s nine-digit routing number
  • The recipient’s ten-digit account number
  • The recipient’s name
  • Recipient’s billing address
  • The recipient’s phone number
  • The name and address of the recipient’s bank
  1. Check your payment information and submit it for processing.
  2. Wait for funds to arrive within one business day.

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