Consider moving business banks. Whatever you decide, take your time.
May you want to consider changing the bank? You don’t want to be fooled into believing it’s easy.
While it may seem like just another task, transferring banks might be more involved than you think. Your payroll is tied to your bank account, and you may have several automated withdrawals. It’s not necessarily a trivial task.
For some business owners, it may not be worth the bother; for others, it may be. Maybe you need a more extensive bank. Perhaps you dislike the customer service and want a more responsive bank. Maybe your present bank charges high maintenance costs.
But there might be a lot of difficulties and hidden fees involved. So, if you’re considering changing banks, here are some factors to think about.
#1. Accounts with credit cards
With your bank, you most likely have a merchant account where your revenue from credit card transactions is deposited, as well as a separate account where your transaction fees are deducted. The simplicity with which you may rebuild a merchant account at a new bank might vary based on the bank you choose. However, for some business owners, it may be a significant source of frustration.
#2. Payroll
Your payroll provider can handle most of the hassles associated with transferring banks, so that’s a given. However, you may still be required to use the internet or make a phone call to complete your task. (When McDonald switched banks, she contacted her payroll firm because she had three employees.)
What’s up with the aches and pains? For that reason, if your employees get their paychecks by direct deposit, you or your payroll provider will need to ensure that the new bank knows your employees’ account and routing information.
Forms for authorizing automated payments or direct deposits may also be required. Prepare in advance, so your employees don’t discover they haven’t been paid when the time comes.
#3. Time
Time is money, as they say. You may want to consider changing the bank, but is it necessary right now? Especially if you’re the one performing the work rather than a CFO or an accountant, you might be better off waiting until things calm down before making a decision.
Wrap Up
Don’t allow the difficulty of moving banks to deter you from making the transition. If you need to switch banks, you need to change banks immediately. Although moving banks can be a hassle, with careful planning, you may reduce some of the stress that can accompany the process.
You may get an auto loan from a dealership, a bank loan for an apartment, an installment arrangement for a new phone with just one click, and you may want to consider changing the bank. Is this something you’ve heard before? One or more significant loans and several smaller ones are all weighing heavily on the shoulders of the average borrower.
You may grow accustomed to using a loan agreement palette if a specific bank continues to do so out of habit. Moving a loan or loans from one place to another might lower borrowing expenses and consolidate many loans into a single one.
