How to Transfer Money From One Bank to Another

If you’re moving money between two accounts that you own at different banks, an online transfer is usually the simplest way to go. Here’s how sending money online generally works:

1. Log in to your bank’s website or app: Head to the bank you want to send money from.
2. Find the transfers section: Look for a menu option like Transfers, External Transfers, or Move Money (the exact name will vary by bank).
3. Add your other bank account: If you haven’t already, you’ll need to link the account you’re sending money to. You’ll need your account’s routing and account numbers.
4. Verify the account: For security, your bank might send a couple of small micro-deposits (just a few cents) to the new account. You’ll then need to log in and confirm the amounts to prove you own the account. This process can take a day or two.
5. Enter the transfer details: Once linked, just choose the ‘from’ and ‘to’ accounts, enter the amount, and set the date. Then, review and confirm the transfer. Transferring money to an external account at another bank may take one to three business days.¹

There are three main ways to transfer money between bank accounts. Here’s a closer look at each method.

1. Bank-to-bank (ACH) transfers

This is the standard online transfer we just talked about. It uses the Automated Clearing House (ACH) network to move money.² Bank-to-bank (ACH) transfers are reliable and usually free, but they’re not instant. Expect it to take one to three business days for the money to show up.¹

2. Wire transfers

If you need to send a large amount of money fast, a wire transfer may be your best bet. It’s like a direct line between banks and can often be completed within hours on the same business day.

The trade-off is the cost; banks typically charge a fee for sending and sometimes receiving wire transfers. They typically cost up to $30 for domestic transfers and up to $60 for international transfers.³

3. Paper checks

It might feel a bit old-school, but writing a check is still a perfectly good way to move money. You can write a check to yourself from one bank account and deposit it into your other account. Many banking apps let you make a mobile deposit with your phone’s camera, which saves you a trip to the bank.

It usually takes two business days for a check deposit to clear in your account. If you deposit a check for $200 or less in person at a bank, it may become available the next business day.⁴

Not sure which method to pick? Here are a few factors that can guide your decision:

• Speed: How quickly do you need the money to arrive? If it’s urgent, a wire transfer may be your best option. If you can wait a few days, a free ACH transfer from one bank account to another is a good option.
• Cost: Are you trying to avoid fees? ACH transfers are usually free. Wire transfers almost always have a cost, so only use them when the speed is worth the price.
• Transfer Limits: Check if there’s a limit on how much you can send. Banks often have daily or monthly limits on transfers, which might influence your choice – especially for larger amounts.
• Security: Always double-check the recipient’s information – especially for wire transfers, which are very difficult to reverse. Only send money to people you know and trust.

Whether you’re switching banks or just organizing your finances, you have plenty of safe and easy ways to transfer money between banks. By considering the speed, cost, and limits of each option, you can pick the best method every time. Now you’re all set to move your money where it needs to go, quickly and efficiently.

Once you understand how to move money, learn how to switch banks to ensure a smooth transition.