Closing a bank account can be a daunting task, especially when you're required to write a letter. Yes, banks can demand that, and you'll have to do it.
On the plus side, this little obligation can save you a lot of trouble. You won't have to wait in line at your local branch or talk to personal bankers. Your only concern will be writing the letter and submitting it either through email or at a bank branch—that depends on what they ask you to do. Another benefit of writing the letter is having a paper trail of your request to close your account, in case it erroneously stays active.
You're likely wondering, “How to write a bank account closure letter?” and “How should I format it?” In this article, we walk you through all the steps to writing and formatting the letter, including a sample and a template.
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Why write a letter for closing a bank account?
Writing a bank account termination letter is a traditional, straightforward way to close a bank account while avoiding staying on lines or talking to customer service. Some banks may offer other means to close accounts, such as calling or visiting a financial center, but some don't.
For instance, to close a transaction or savings account at Heritage Bank, clients are required to fill up a form with personal info (i.e. name, email, account number) and clear instructions on what to do with the account. If the account has multiple holders, all of them have to sign the document.
While this seems outdated, letters to close bank accounts are an effective way to guarantee an account is being closed—and that you really asked for it—as both you and the bank will have physical proof of your request.
How to write a bank account termination letter?
A bank account close letter is a simple and concise document. You don't need to say much besides your request for account termination. Here's a step by step guide on how to write it:
1. Address the letter
Like every letter, a bank account close letter starts with a salutation to the recipient. You can address the bank manager by name, if you know it, or use standard salutations, such as “Dear Bank Manager” or “To Whom It May Concern.” In other scenarios—such as sending a cover letter to a hiring manager—“To Whom It May Concern” can sound harsh, but in this specific case, it's acceptable.
2. State your request
This type of letter is very straight to the point, so your next step is stating your account termination request. Do it with a clear and concise sentence, such as “I'm writing to request the closure of my checking account with [bank name]” or “I would like to request my savings account closure.”
3. Give necessary information
The next step is providing all the necessary personal information the banker needs to fulfill your request. This includes your account number, your full name, mailing address and phone number, and the names of the other account holders, if any. Since procedures change between banks, you should check with your bank (over a call or their website), what personal information they need from you to close the account.
4. Add balance transfer request, if any
If you have any balance left and didn't transfer it to another account yet, you can request it to be done for you. In this case, you'll have to also provide the information of the other account, including the name of the bank, account number, branch location, and account name. Be sure to check on your bank website or give them a call to know what information should be included in the letter.
You can also request the bank to send you a written confirmation of the account termination. Generally, banks do inform clients that their account has been closed anyway, but it doesn't hurt to ask.
5. Close and sign the letter
Next, finish the letter with a formal closing. You can say something along the lines of “Thank you for your attention” and “Let me know if you need any more information,” and sign with your name and last name.
Before submitting your letter, take a few minutes to review the document and search for grammar mistakes or incorrect information. It's important that every personal data provided is correct so your request can be fulfilled promptly, and your remaining money gets sent to the right account (if applicable).
How to submit a bank account close letter?
As mentioned, some banks may accept a bank account termination letter via email. However, some banks might request that you send your request in writing and send it via mail—one example is Bank of America. In their FAQ, you can find the PO Box addresses for checking and savings accounts and for credit card accounts.
The Heritage Bank doesn't accept handwritten letters, but has a preformatted account closure form that clients download at their website, fill up, and submit at a local branch. To be certain you're doing the right procedure, remember to check your bank's website.
What's the bank account close letter format?
Bank account closing letters have a simple letter format you've probably seen multiple times in your life. It goes salutation, body, closing, and signature—in this exact order. There's no specific font type, size, or color to use, but considering it's a formal letter and a document, it's best to go with the basics: Sans Serif, Arial, or Tahoma in regular size and black.
One point of attention: if you need to submit your letter in writing, like Bank of America requests, you'll have to add your and the recipient's info on the envelope, like it's traditionally done. For example:
[Your Name]
[Your Address]
[City, State, Zip Code]
You may also want to add it at the top of your letter, including your email and phone number. Below, we added a sample and a template to illustrate how your letter should look like.
Closing bank account letter sample
Ana Smith
123 Cool St.
Tampa, FL, 12345-1122
annasmith@email.com
555-123-45678
July 12, 2024
To Whom It May Concern,
I, Anna Smith, am writing this letter to formally request the closure of my checking account with Bank of America. The details of my account follows:
Checking account: 12345
Account holder name: Anna Smith
Please ensure my remaining balance is issued to me in the form of a cashier's check. I'd also like to request that you please provide me with written confirmation that the account is closed.
Thank you for your prompt attention. Let me know if I need to provide any additional information.
Sincerely,
Anna Smith
Closing bank account template letter
[Your Name]
[Your Address]
[City, State, Zip Code]
[Your Email Address]
[Your Phone Number]
[Date]
[Formal Salutation],
I, [Your Name], am writing this letter to formally request the closure of my [Account Type] with [Bank Name]. The details of my account follows:
[Account Type]: [Account Number]
Account holder name: [Your Name]
Please ensure my remaining balance is [Instructions]. I'd also like to request that you please provide me with written confirmation that the account is closed.
Thank you for your prompt attention. Let me know if I need to provide any additional information.
Sincerely,
[Your Name]
Extra tips to close your bank account
Before closing, or making a request to close, your bank account there are a couple of actions you should take to make this process as smooth as possible. Here's everything you need to do:
- Update automatic transactions: If you have automatic payments, deposits, and transfers linked to the account you're about to close, be sure to cancel or update it to the account you'll be using moving forward.
- Transfer funds: If you have funds left, transfer them to another account. You can also request the bank to do it for you, but since you don't know exactly when your request will be fulfilled, maybe you should do it yourself in case you need the money.
- Review account activity: Make sure there's no transaction pending or unknown activity. This is important to avoid late fees and sort out with the bank any potential issues with your account that you haven't seen before.
- Update contact information: After closing your account, the bank most likely will send you confirmation. To ensure you'll receive it, and any communication from the bank, update your contact information if it's out of date.
- Return bank items: If you have a card attached to your account, you may want to return it to the bank.
Finally, after you make the account closure request, continue to monitor your account to confirm everything went well with the updates made. If possible, keep records of the termination and any communications with the bank in case the account remains active and you need to file a complaint.