How To Change Banks When Moving Out Of State
Oct 06, 2022
Changing banks is something most people don’t consider, which is why it isn’t surprising that over 40% of Australians still operate their childhood accounts set up by their parents. Also, 22% are happy with their current bank, and 9% aren’t interested.
However, considering bank switching during an interstate move is important if it affords you better accessibility, interest rates, features, deals etc. Ideally, you should review your bank accounts annually to know if it is advantageous, as sometimes staying loyal to a bank can cost you money.
Having a bank account that isn’t beneficial doesn’t help because moving out of state is expensive. You have to hire
cheap removalists Brisbane, get packing supplies and pay for multiple one-off expenses with your fixed expenditures. Therefore, read on if you want to change banks when relocating to another state.
Look Out For Your Money
A house move is the best opportunity to evaluate your expenses and keep a check on your savings & banks. Here is how to look out for your money.
- Ensure the Financial Claims Scheme covers your bank.
- Don’t have the set and forget approach, meaning you should only keep using your childhood account if it grows your money.
- Keep an eye out for banks with no/low fees. Also, prefer banks with high-interest rates.
- Always check your account statements for discrepancies.
Since you need to buy/rent a property, pay removalists in Brisbane, set up utilities, and pay for other major expenses, taking this step is crucial for financial security.
Compare Bank Accounts
Compare bank accounts on the following criteria to know whether changing banks will benefit you.
- $0 monthly fee & own ATM usage fee
- Government guarantee, meaning deposits up to $250,000 are assured by the Australian Government.
- Card type: Visa or MasterCard
- ATM networks
- Interest rates for saving or everyday bank accounts
- Intro period
- Monthly max rate conditions
- Cash back offers
Open a Bank Account
Australian banks have a points system for documentation, and each document you submit has specific points. Therefore, you will need multiple documents to get 100 points. But, the process is easy as it requires:
- Your passport, driving licence or proof of identity for a primary photo identity document.
- Your birth certificate or citizen certification for a primary non-photo identity document.
- Additionally, you will need any of these documents recent utility bill, the latest tenancy agreement, an ATO notice, a Medicare card, a driving licence, an Australian marriage certificate or higher education institute’s ID card.
Owing to the digitation of banking in Queensland and other Australian states, you can fill out an online application. It is helpful because you don’t have to be physically present in the state to open an account. You can have an account ready to use immediately after moving. Thus, time your bank change accordingly.
Transfer Automatic Payments
When you switch banks during an interstate move, it is essential to transfer automatic payments for rent, bills, deposits, and subscriptions. Most banks have applications and online banking that allows you to set up auto-debit payments without stress or hassle.
To manage this task smoothly, list all your automatic transactions in the last year and transfer them one by one. For example, if you subscribe to an Over-the-Top (OTT) platform that auto-debits a subscription fee, transfer its payment to your new bank account before you close your current account.
If you are confused about transferring your debt and credit arrangements, always seek the assistance of your current bank. They are obligated by the Australian Securities and Investments Commission (ASIC) guidelines to help with setups. You can also ask your new bank to assist with the switch, and they will contact the old bank.
Request for Debit card, Credit Card & Cheque Book
If you are someone who pays less in cash and more with debit or credit cards, you must request to receive the necessary cards at your
changed address within a day or two upon arrival.
Contact the bank’s customer care service to request the cards and cheque book and schedule their pick-up or delivery. This step is essential for arranging payment for your hired removalists in Brisbane, professional cleaners, utilities etc.
The Bottom Line
Switching banks isn’t the norm, but if your current bank doesn’t help grow your money or provide good features, interest rates or other benefits, it is time to change your bank. Moving out of state is one of the best opportunities to compare banks and make the change.
Therefore, use this guide to set up a new bank account to
save money. It will help you manage significant moving expenses like hiring removalists in Brisbane, buying packing supplies, connecting utilities and more without hassle.