Everyone among us needs guidance about how to transfer money from one bank to another. In daily life you always check to pay your credit card balance, pay bills or you may use transfers to send money to friends and family members, etc. Also, if you have accounts at different banks/ institutions then use the transfer money process. The money transfer requires some steps and methods to proceed money to another Bank or another account.
Here are some common ways to transfer money from one bank account to another and from one bank to another. These are described step by step how to transfer money.
Transferring money to the same bank.
You may have two accounts in the same bank, one is a current account and the other is a savings account. It is easy to transfer money from one bank account to another. This is called the “internal transfer” of money. For transferring money go to an online banking transfer platform and search for options on how to transfer money. First of all, you have to link your accounts. This can take a few minutes and also can take a few days. Further, You should be aware of the pros and cons of online banking.
While transferring money, you have the option of a one-time transfer or recurring transfer. Many banks transfer immediately while the others take time. If your accounts are connected already then it will transfer immediately and if you are transferring to a new one then it may take two to three days.
You can transfer money by providing the information that is needed for a transaction.
How to link accounts
- Login to your account from which you want to transfer money. After login, click on the add accounts or link accounts.
- Here you will provide the other Bank routing number and your account information. If you have difficulty in getting your information then get it from your checkbook or from a bank representative.
- Finally, after submitting information, verify your account by providing a username and password.
Transfer to external accounts/provide external account information
If you have two accounts, one is saving and the other is checking accounts in two different banks then what? This is known as “external transfer” . For the external transfer, you need to connect your online savings account and checking account. You have to provide the routing number and your account information every time. Also you have to provide the information of the account to which you are transferring. You can transfer money multiple times but it is important to know the timings and limitations of transactions.
What is the routing number?
A routing number consists of nine digits that is linked with your bank. This number is important because it ensures that you have deposited it in the correct account. There can be several routing numbers so put the write one.
Peer-to-Peer( P2P) Transfers
People use different apps like CashApp, PayPal, etc to TRANSFER money from one bank to another. P2P transfer is the fastest way to transfer money to friends and family members or for payment. This transfer may include a fee or no fee. You have to make sure of the P2P limit and timing. Also, remember that some apps don’t transfer money to international accounts. If you want to send it to another country then you have to pay a larger fee.
If you want to transfer a large amount of money then you may use wire transfers. It is the fastest way to transfer large amounts of money in a secure way. This transfer also comes with a fee. The transfer fee depends upon the bank that you are transferring domestically or internationally.
Although, wire transfers are quicker than other methods but these also took some time. Depending on the bank, it may take an hour or one business day.
While transferring through this method make sure that you are wiring with the correct person so that you can be protected from scammers.
Transfer through filling check
This is another way to transfer money from one bank to another; writing a check to transfer money. In this method, you have to write a check for transfers. You authorize your bank by writing a check to transfer the payment from the account to the recipient. Also, you can fill the invoice (a paper used for transfer of Money) to transfer money by giving cash to the bank.
Nowadays mobile check deposits have become an easy way to transfer money. People use different mobile apps for the transfer of money for education, business, and for bills. Mobile checks may take some business days to be deposited but it usually takes just minutes through mobile transfer.
How you transfer money through check is as
- If you live in the United States then recommend Venmo which is the most popular money transferring app.
- Fill the check with correct information by providing the date, an amount you want to transfer (in numbers and in words), the receipt’s name/organization, and the information that is needed on the check.
- Deposit the check or hand over it to whoso is going to deposit it.
Key points to remember while transferring money from one bank to another
- Make sure that you have provided the correct routing number
- Make sure you have provided the exact account number of the recipient
- Keep in mind that either you are transferring from a checking account or a saving account.
- Note before transferring whether it is a business account or personal.
- The most important thing while transferring money is to write the exact bank name of the recipient.
- Transfer through e-banking is an easy way to transfer money to friends and family members
- The benefit of e-banking is that you can transfer from home, office, or from another place.