How to Switch your Current Account: A Step-by-Step Guide
24 May 2022
How do I switch my current account from Ulster Bank or KBC?
Over one million customers will need to switch their current account in the next six months, following the exit of Ulster Bank and KBC from the Irish market.
Whether you’re an Ulster Bank or KBC customer who needs to switch, or you’ve decided to jump on the switching bandwagon (because, you know - saving money on current account fees is nice) making the move may seem intimidating, confusing, or just a little inconvenient. What current account provider should you move to? Once you’ve chosen, how do you go about switching? We’ve devised a simple, step-by-step guide on how to move from your old account, to a new one, below.
The credit union, unlike other current account providers, is a not-for-profit, community-owned and customer focused financial institution. Credit union current accounts offer very competitive fees, as well as other functionalities such as overdrafts and a globally accepted debit card with contactless and mobile payment functionality. With multiple branches in every county across Ireland and friendly staff to offer expert, face-to-face support, why not read more about opening a credit union current account here.
Choose the best current account provider for you
Each financial institution offers different kinds of current accounts with varying functionalities. Contacting them directly or accessing their website will give you information like their current account fees and charges, as well as information on overdrafts and contactless and mobile payment capabilities. You could also assess their wider services like their online banking offering and number of local branches in your area.
You can open a credit union current account in over 220 locations across Ireland. The credit union current account offers a full-service account, with access to your money 24/7. Many credit unions also offer an overdraft service with the current account. The interest rate on the overdraft will be a maximum of 12% (12.68% APR*), which is significantly lower than the rate charged by most of the banks. If you are thinking about opening a current account, you can check here to see if your local credit union offers one.
Assess your current account switching pack
Once you’ve chosen a new current account provider they should give you a switching pack which where you can find information and the forms you need to transfer. You will also need to provide documents to open a new account. The usually include:
Pick a date you would like to switch your current account
You must agree a switching date with your new current account provider. This date should be chosen when there is the least amount of activity on your account i.e. no bills or payments being made. Usually, this can be between 10 and 20 days after payday.
Confirm Details of your Overdraft
If you wish to use an overdraft on your new current account, you may need to fill out another application form. You may be able to transfer any outstanding overdraft payments from your old account to your new one, or just clear the balance before you switch.
Complete the Switching or Transfer Form
There are two ways you can move your account from your old provider to your new one - manually or by using a switching or transfer form. Using a switching form provided by your new financial institution is the easiest way to switch accounts.
Inside your switching pack you find a transfer form. Once completed, your new current account provider will pass all direct debit and standing order information to your old provider, allowing these payments to continue once your new account is set up. Any money in your old account will also be transferred to your new one. For international direct debits, you must contact these companies yourself with your new current account details (IBAN/BIC number etc.).
Close your old account
You must let your new current account provider know if you wish to close your old account once your new one is set up.
Update your Employer
Make sure to inform anyone who pays money into your current account – i.e. your employer, social welfare – of your new current account details, as your new current account provider cannot do this for you.
Update subscription/card details
Make sure to update your new debit card details online where applicable: e.g. automatic toll websites, music or streaming websites.
Credit Union Current Account
If you are interested in switching your current account to your local credit union, you can read more about the benefits of opening a credit union current account here.
* For a €3,000, 3 year variable rate loan with 36 monthly repayments of €100.62, an interest rate of 12% (12.68% Annual Percentage Rate), the total amount payable by the member is €3,622.32.