How to leave Bank of America by Rew

"From the fast food of banks, to better service, better rates, and peace of mind."

How I did it: Closed the BofA account today.

It's done and feels oh-so good.

Total Elapsed Time: 5 weeks
Actual Effort/Standing in Banks/Online Stuff: 5 hours

My BofA CD was earning me 0.5%. A savings account at my new credit union earns 1%. Additionally, I get 3% interest in my checking account itself. I've started looking a bit at their CDs and other savings products which will get 1-3% right now.

Overall, it is just better financial service, better online banking, and better rates. 

I should have done this 8 years ago. 

I was a bit surprised that the BofA financial adviser did ask why I was leaving. Didn't get into my moral stance but did mention how good the online banking was and how the rates were also much better. He was pretty quiet after that.

Lessons & tips: It is very easy, not stressful, and rewarding as long as you are not in a rush.  Here is my 0 stress method.  If you can move enough money to your new account to live off of for over 1 month you can pretty much do this at your own pace:


(1) Hunt for a new financial institution (yelp/online/word of mouth/whatever).  Check out their websites and ratings.  What are they known for? FDIC insured?  Pick the one you like.

(2) Open a new account with your new bank.  Put in enough money to last over 1 month, if possible. It should take a matter of a day or so to get your debit card and checking account up.

(2.5) Optional: setup direct deposit and configure your online banking if desired.  Start the direct deposit switch from your old account to new account as soon as you can.  This was the long pull for me. Corporations, banks, and employees are very mindful of paychecks.  Once you can see that the old account is no longer receiving your paycheck and the new account will you will be ready to really close things out quickly.

(3) Cease all transactions with the bank you are moving away from.  Let all pending checks and payments clear.  All new transactions and payments should be done with your new bank.

(4) When all activity has stopped in your old account, go cash-out the rest of your money and deposit it in your new account.  You may even be able to affect this transfer online depending on your banks.  I did it with cashier check from my old bank to new because I felt most comfortable with that.

(5) Post online how your new bank is great and you are not with one of the big 6 anymore.

Resources: Yelp.com


 

Apr 03, 2010, 02:43PM PDT | 0 comments | 1 cheer


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