How to switch banks without the headache
Key takeaways
Reviewing your current accounts, listing recurring payments, and choosing a new bank in advance can help make the transition smooth and stress-free.
Updating direct deposits and automatic payments before closing your old account helps prevent missed bills, delayed paychecks, or overdraft issues.
Switching banks is an opportunity to reduce fees, earn better interest rates, and access features or services that better align with your financial goals.
Ask anyone what they love to do most, and switching banks is not likely to be something that they mention. Like switching car insurance providers or cell carriers, switching banks is often a fairly involved process that requires you to do administrative legwork. But does it have to be?
In this guide, we will uncover how switching banks normally works.
How to switch banks without Raisin
Normally, switching banks is an involved process. But switching banks can also be smart for various reasons. For instance, maybe you want to move funds from a traditional checking account or savings account into a high-yield savings account to grow your money faster.
In cases like these, switching banks can be smart despite the effort involved.
Regardless of your reason for wanting to switch banks, here’s how the process traditionally works:
- Open a new bank account: Before opening a new bank account, you should research different banks, their interest rates, fee structures, and so forth. Then, once you’ve found one that works, it’s time to open a new account by filling out an application. Many banks allow you to open a bank account online. Some banks might approve you right away, others may take some time. You’ll need a government-issued ID, your Social Security number, and other sensitive personal information, proof of address, and an initial deposit.
- Transfer funds into the new account: Even if you plan to fund your account via direct deposit from an employer, you typically must still make an initial deposit. Most banks have minimums on the deposit amount. In most cases, you’ll need to link an old bank account, which will require a verification process. This could take a few days to complete. Once verified, you must transfer the money into your new account.
- Update direct deposit & autopay information: If you plan to use your new account in place of an old one for collecting paychecks, you must update your direct deposit information with your employer. If you plan to use the account to automatically pay bills that had previously been withdrawn from another account be sure to update your autopay information.
- Close the old account: Once your new account is set up to receive money and automatically pay any bills the old one was set up to pay, it’s time to close the old account.
Introducing Raisin: A better way to switch
Raisin is a one-stop savings marketplace that links you with 70+ partner banks and credit unions.
When you sign up for Raisin, you get one convenient online login for easy access to a number of partner banks who offer competitive rates and values that help you save with purpose.
Are you tired of missing out on great savings rates because opening new accounts is such a hassle? The endless forms, new passwords, fees, and statements can be overwhelming.
Raisin streamlines the process of switching banks. With us, you can access high-yield savings accounts from multiple banks and credit unions with just one free registration.
Securely deposit and manage your money across various institutions, all while keeping your personal information and funds protected, and all with much less effort and time than is normally required.
Want to move funds from one bank or credit union to another on the Raisin platform? Opening an account with an additional partner can be done in just a matter of clicks and you can use the Cash Account to transfer funds between them without having to take funds out of the platform.
Your questions, answered
How long does it take to switch banks?
Switching banks the traditional way may take days or even weeks. But with Raisin, that time could be dramatically less.
Is it difficult to switch banks?
Traditionally, switching banks is a somewhat involved process. Most would characterize switching banks the traditional way as “inconvenient.” Raisin, on the other hand, makes switching partner institutions all under one login simple.
What is the easiest way to change banks?
Traditionally, the easiest way to change banks is with an online funds transfer between your old bank and new bank. In contrast, if you want to change banks on the Raisin platform, you can open a new account in a matter of clicks and transfer funds via your Cash Account.
How do I transfer one bank account to another?
To transfer one bank account to another, you’ll need to initiate a transfer from your old account to your new one. You'll need the account and routing numbers for both accounts.
Is there a downside to switching banks?
Not all banks are alike. They vary in their fee structures, minimum balances, interest rates, and more. Not all banks offer the same products, either. So before switching banks, we recommend understanding what your new versus old bank offers to ensure that doing so is a financially wise decision.
For additional information, learn how it works differently at Raisin.
Learn more about how to switch bank accounts with Raisin
Want to know more about how we make banking easier? We invite you to explore our Savings Guides, where you can learn everything you need to know about saving money.
The above article is intended to provide generalized financial information designed to educate a broad segment of the public; it does not give personalized tax, investment, legal, or other business and professional advice. Before taking any action, you should always seek the assistance of a professional who knows your particular situation for advice on taxes, your investments, the law, or any other business and professional matters that affect you and/or your business.
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The Raisin name and logo are trademarks of Raisin SE. All other trademarks, logos, marks, and brand names are the property of their respective owners.
*APY means Annual Percentage Yield. APY is accurate as of April 26, 2026. Interest rate and APY may change after initial deposit depending on the terms of the specific product selected. Minimum opening deposit is $1.00.
Raisin is not an FDIC-insured bank, and FDIC deposit insurance only covers the failure of an insured bank.
Raisin is not an NCUA-insured credit union. NCUA deposit insurance only covers the failure of an insured credit union.
Raisin does not hold any customer funds. Customer funds are held in various custodial deposit accounts. Each customer authorizes the Custodial Bank to hold the customer’s funds in such accounts, in a custodial capacity, in order to effectuate the customer’s deposits to and withdrawals from the various bank and credit union products that the customer requests through Raisin.com. The Custodial Bank does not establish the terms of the bank or credit union products and provides no advice to customers about bank or credit union products offered by the applicable bank or credit union through Raisin.com. Each customer also authorizes the Service Bank to move funds among the various banks and credit unions at the customer’s request. First International Bank & Trust (FIBT), Member FDIC, is the Service Bank. Bell Bank and Starion Bank, each Member FDIC, are the Custodial Banks.
†Based on $250,000 in FDIC or NCUA insurance coverage per insurable category of ownership at each partner bank or credit union on the Raisin platform (each a "Product Bank"), when aggregated with all other deposits held by you at such Product Bank and in the same insurable category. Deposits made through Raisin will be eligible to receive deposit insurance from the FDIC or the NCUA (each a "Deposit Insurer") in accordance with and up to the maximum amount permitted by law at each Product Bank. Raisin is not a bank or credit union and does not hold any customer funds. Funds are held at FDIC-insured banks and NCUA-insured credit unions. Deposit insurance covers the failure of an insured bank or credit union. Certain conditions must be satisfied for pass through deposit insurance coverage to apply. Customers may choose to deposit funds with identically registered accounts at different Product Banks on the Raisin platform to be eligible for Deposit Insurer coverage up to $10 million for individual accounts and $20 million for joint accounts when at least 40 Product Banks are utilized. Please be aware, however, that any deposits you have at a Product Bank, whether through the Raisin platform or outside the Raisin platform, that you may hold in the same capacity (such as in an individual capacity or joint capacity) count toward the applicable Deposit Insurer's deposit insurance maximum amount, and any such amounts that you hold in the same capacity at a Product Bank that exceed the maximum insurance coverage by the applicable Deposit Insurer will not be insured. For more information on FDIC deposit insurance, please see here. For more information on the NCUA share insurance fund, please see here. You are solely responsible for monitoring the amount of funds you have on deposit at each a Product Bank, whether through the Raisin platform or outside the Raisin platform, to confirm that the deposits you hold in the same capacity at each Product Bank do not exceed the maximum deposit insurance coverage provided by the applicable Deposit Insurer.