Whether you’re moving out of town, worried about your bank’s future, or you just found a better option, you may want to close your bank account.

Closing a bank account may be more challenging, depending on the situation. In some cases, you may want to get started right away. Here’s the breakdown of how to close a bank account and overcome potential hurdles.

Related: Does closing a bank account hurt your credit score? 

Open a new savings or checking account

Before you close a bank account, have a new account for your money. Open a new savings account or checking account right away. You might find a bonus offer from an online bank or local credit union, take advantage of the best high-yield savings account rates, or find a checking account with fewer fees and restrictions.

Opening a new account is much easier than closing one, and you can often open new accounts online in a few minutes. Be sure the new account is up and running so you can start using it for your regular banking needs once your previous account is closed.

Stop any automated payments and deposits

Your checking account is probably the main hub of your big money decisions.

• If you have automatic payments for bills such as your rent, mortgage, or auto loan, move them to your new account once it’s funded. That will help you avoid insufficient funds or late payment fees when transitioning to a new account.

• Change the account information for payments withdrawn by your creditors — such as online subscriptions — on the site or app account settings.

• If your paycheck is deposited automatically via direct deposit, ensure your employer has your new account information.

You may not have automated payments set up for your savings account, but it’s still important to check if you have any scheduled incoming or outgoing transfers before closing the account.

Contact your bank to close your account

Every bank has different rules in place for closing your bank account. While some might make it as easy as opening one online, others might require you to call your bank or visit a branch.

If you have outstanding fees or a negative balance, you might have to bring your account to zero or a positive balance before closing the account. If you currently have pending transactions, you must wait until those clear to close your account.

Download your most recent statements, as you will likely lose access to them once you close your account.

One thing to note is that closing a bank account doesn’t hurt your credit score or history because it’s not a credit or lending product.

Closing a joint account

In most cases, if you have check-writing or withdrawal privileges within a joint account, you should be able to close the account without the presence of anyone else who is on the account.

Some banks may require both parties to be there or a signed affidavit from one party that releases their ownership of the account or gives permission for the other party to close it.

Closing a bank account for someone who died

Most banks require a copy of the death certificate and other identifiable information, like a Social Security number or a government-issued ID (sometimes for you, sometimes for the decedent, and sometimes for the executor handling the affairs of the person who died). Then, depending on the estate plan the decedent had, the funds can go to a few different places:

• If it was a joint account and the other person is still alive, the money will go to them.

• If the account had a beneficiary assigned to it, those funds will be disbursed to them.

• If the decedent had a will or another plan for the account, the bank may also need copies of those documents. Contact the bank about the next steps so you know what you need to do.

Get confirmation

Ensure you get confirmation either electronically or by letter that your account is closed. If your account is in good standing and you don’t have any outgoing payments scheduled, the bank may be able to close your account right away. On the other hand, a negative balance or joint ownership can slow the process. If you don’t receive timely confirmation, contact the bank to check your account status. If the account has been closed and you never got any notice, request one for your records.