On average, consumers keep the same checking account for about 17 years. However, even if you’ve been with the same bank for over a decade, changing banks doesn’t have to be difficult.

“Switching financial institutions can be driven by various factors, such as relocating, changes in your financial needs or banking habits, or a desire for better technology, service, or rates and fees,” explains Greg McBride, CFA, chief financial analyst at Bankrate.

No matter your reason, it’s essential to follow some steps to avoid losing funds or incurring extra fees. Here’s a six-step guide to ensure a smooth transition when switching banks.

1. Find a new bank or credit union

To start the process of switching banks, first find a new financial institution that better meets your needs. With numerous banks and credit unions available, each offering distinct benefits, it’s important to choose one that aligns with your financial habits.

Look for banks that provide perks and services that suit your preferences. This might include a broad network of ATMs, high-quality online banking services, attractive interest rates, or a combination of these features. Checking reviews and ratings can give you insights into their customer service and overall reliability.

While comparing banks may seem overwhelming, focusing on your specific needs can make it easier. Consider factors such as fees, interest rates, banking features, and customer service quality. For example, if you prefer mobile banking, look for a bank with a strong mobile app. Conversely, if you value in-person interactions, choose a bank with numerous local branches. Aim to balance convenience with cost-effectiveness.

2. Choose your next account

Identify your reasons for switching banks to ensure you choose an account that meets your needs. Financial institutions offer various types of deposit accounts, such as savings, money market accounts, and certificates of deposit, each with different fees, features, and requirements. Bankrate’s banking reviews can help you compare these options across different institutions.

Make a list of the features that matter most to you, such as:

  • Lower fees
  • Higher interest rates for savings
  • Minimum balance requirements
  • Quality of mobile app
  • Budgeting tools
  • Access to local branches
  • Large fee-free ATM network
  • Safe-deposit box availability
  • Customer service hours
  • Bank reputation

“Consider your banking habits and needs,” advises McBride. “If you need a safe-deposit box, an online-only bank won’t suffice. Conversely, if you prefer low fees and better rates while banking digitally, you’re not limited to local options.”

Once you’ve narrowed down your choices, review the disclosures on bank and credit union websites for important details about account fees, rates, and requirements to make an informed decision.

3. Keep track of automatic transactions and direct deposits

You might have automatic deposits for your paycheck, dividends, and other income streams, as well as automated payments for recurring expenses like cell phone bills, utilities, subscription services, charitable donations, and more. To prevent disruptions, create a list of these transactions from the past 12 months. You’ll need to transfer these to your new account once it’s set up.

Don’t forget to include any transactions that occur quarterly, semiannually, or annually, and note any linked accounts, such as monthly transfers to an IRA or HSA.

Transitioning all your automated payments may take time, especially if you rely heavily on online bill pay. However, ensuring all your regular transactions are updated will help you avoid issues like bounced checks or declined payments, which could lead to fees.

4. Open your new account

Once your research is complete, opening an account at your chosen bank is straightforward and can often be done entirely online. According to FICO research, about 71 percent of Americans prefer to open accounts digitally.

Whether you open an account online or at a branch, the process is similar. You’ll need to provide details such as your Social Security number, date of birth, and current address. You may also need to present identification documents, such as a driver’s license or passport, to verify your identity.

After submitting your application, the bank may review your banking history through ChexSystems, a credit-reporting agency. Once approved, you’ll need to fund the account. Some banks require a minimum deposit to open an account, which might not be enough to avoid fees, so depositing an amount sufficient to cover any fees is advisable. You can fund the account via check, cash, electronic payment, or possibly a wire transfer, depending on the bank. If you’re transferring funds from another account, make sure you have the account number and nine-digit routing number handy.

Additionally, consider ordering checks, obtaining a debit card, and downloading the bank’s mobile app to fully set up your new account.

5. Redirect your payments and direct deposits

Once you’ve identified all automatic transactions from your old account, it’s time to transfer them to your new account. This includes updating both incoming deposits and outgoing payments. To change your payroll deposit information, you can usually update it online through your payroll provider’s website. Alternatively, your human resources department can assist with switching direct deposits to your new account.

Don’t forget to update any one-time or recurring transfers between accounts, such as those from a checking account to a savings or retirement account. You’ll need to link these accounts in your new bank, which can often be done through the institution’s mobile app or website.

6. Close your old account

The final step in ending your relationship with your old bank or credit union is closing the account, but it’s wise not to rush this process.

“Plan to keep your old account open for at least one or two additional statement cycles after your new account is active,” advises McBride. “This extra time helps ensure that any overlooked or forgotten automatic payments are caught before you close the account.”

Once you’ve confirmed that all direct deposits and automatic payments are properly redirected to your new account, transfer any remaining funds from the old account. Electronic transfers are usually the quickest, but you can also use a personal check or wire transfer if needed.

After the final transfer clears, you can close the old account. Be sure to request written confirmation of the closure to avoid issues with a “zombie account” — an account that may be reopened unintentionally if funds are mistakenly routed to it.

Finally, shred any remaining checks and cut up the old debit cards to protect against identity theft.

While it takes some effort to track and redirect all transactions, switching banks should be a smooth process. If you have any questions about your new account, don’t hesitate to contact customer service.