The fastest way depends on where your money is now
If your money is already at a bank or credit union, you can move it to a high yield savings account in one of three ways: link the accounts and push the money yourself, give the new bank permission to pull it, or wire it. Most transfers take one to three business days. If you are moving money from a brokerage, money market fund, or employer retirement plan, the process is different and slower — those usually require a check or a specific form.
The account you are moving to matters more than the account you are moving from. High yield savings accounts are offered by online banks, credit unions, and a few traditional banks. They pay interest rates that change weekly, usually between 4% and 5% right now, but that rate is not locked in. You can open the account before you move the money, and most banks let you link your old account immediately.
Key Takeaways
- ACH transfers (the standard method) take one to three business days and work between any two banks or credit unions, but have daily limits that vary by institution.
- Wire transfers move money the same day or next business day but cost $15 to $30 and are harder to reverse if you make a mistake.
- You can push money from your old bank or let the new bank pull it — both methods use the same ACH system and take the same time.
- High yield savings accounts at online banks often have no minimum balance and no monthly fees, but the interest rate changes weekly and is not may provide.
- If your money is in a brokerage, mutual fund, or retirement account, you will need to liquidate holdings first or request a check, which adds time.
ACH transfers: the standard route for most people
An ACH transfer (Automated Clearing House) is the most common way to move money between banks. It is free, but it takes one to three business days. You can initiate it from either your old bank or your new bank, and the result is the same.
To push money from your old bank: log into your current bank's website or app, find the transfer or send money section, and enter the new bank's routing number and your new account number. Your old bank will send the money through the ACH network. To pull money from your old bank instead: log into your new high yield savings account, find the link account or add account section, enter your old bank's routing number and account number, and authorize the transfer. The new bank will request the money from your old bank.
ACH transfers have daily and monthly limits. Most banks allow $10,000 to $25,000 per day, but some allow more. If you are moving a large amount, check both banks' limits before you start. You can do multiple transfers over several days if you hit a limit.
Wire transfers: faster but more expensive and harder to reverse
A wire transfer moves money the same business day or the next morning, depending on what time you send it. It costs $15 to $30 at most banks. Wire transfers are useful if you need the money to arrive quickly, but they are also harder to cancel or reverse if you enter the wrong account number.
To wire money, call your old bank or log into their website and request a wire transfer. You will need to provide the receiving bank's name, routing number, your new account number, and the amount. Some banks require you to call; others let you do it online. The bank will confirm the details before sending. Once the money leaves your account, it is usually gone — if it goes to the wrong place, recovery is slow and not may provide.
Wire transfers are best for large amounts or when you need the money immediately. For routine transfers under $10,000, ACH is usually the better choice because it is free and the risk of error is lower.
What happens if you link the accounts but do not transfer yet
Most high yield savings accounts let you link your old bank account as soon as you open the new account. Linking does not move any money — it just gives the two banks permission to talk to each other. You can link today and transfer money next week, next month, or never.
Some banks require a small test deposit before you can link accounts. They will deposit $0.01 to $1.00 into your old account and ask you to confirm the amount. This is a security check to prove you own both accounts. Once you confirm, the accounts are linked and you can transfer larger amounts.
Moving money from investments, brokerages, or retirement accounts
If your money is in a brokerage, mutual fund, money market fund, or retirement account, you cannot transfer it directly to a high yield savings account using ACH or wire. You have to liquidate the holdings first (sell them for cash) or request a check.
Liquidating takes one to three business days, and then the cash sits in your brokerage account before you can move it. Once the cash is settled, you can wire it or request a check. Requesting a check is free but slow — the check takes five to ten business days to arrive, and then you have to deposit it into your new account, which takes another one to three days.
If you are moving money from a 401(k), IRA, or other retirement account, the rules are stricter. You may have to request a distribution, which can trigger taxes and penalties if you are under 59½. Talk to your plan administrator or tax professional before you move retirement money.
Timing: when the money actually arrives
ACH transfers settle in one to three business days. This means the money leaves your old account immediately, but it does not show up in your new account right away. Weekends and holidays do not count as business days. If you transfer money on a Friday afternoon, it will not arrive until Monday or Tuesday.
Wire transfers settle the same day if you send them before your bank's cutoff time (usually 2 p.m. or 3 p.m. Eastern). If you send after the cutoff, the money goes out the next business day. Some banks charge extra for same-day wire service.
Your old bank will show the money as pending or in transit. Your new bank will show it as pending until it arrives. Do not assume the transfer failed if you do not see it immediately — one to three days is normal for ACH.
What to do if the transfer does not arrive on time
If an ACH transfer does not arrive within three business days, contact your new bank first. Ask them to check the status using the trace number (a reference number assigned to every ACH transfer). They can see whether the money left your old bank and where it is in the system.
If the money left your old bank but has not arrived at the new one, the new bank can file a trace with the ACH network. This usually takes five to ten business days. If the money never left your old bank, contact your old bank and ask them to resend it.
If you entered the wrong account number and the money went to someone else's account, contact your old bank immediately. They can try to recall the transfer, but success is not may provide. Wire transfers are even harder to reverse — if you wired money to the wrong place, call your bank right away, but be prepared for the possibility that the money is gone.
Frequently Asked Questions
Can I transfer money to a high yield savings account if I do not have an account yet?
Yes. Open the high yield savings account first (this takes 10 to 15 minutes online), then link your old bank and transfer the money. You do not need to deposit anything to open the account — most high yield savings accounts have no minimum balance requirement.
What if my old bank and new bank are the same institution?
If both accounts are at the same bank, the transfer is usually instant or takes a few hours. Log into your account and look for a transfer or move money option. You will not need routing numbers — the bank already knows both accounts are yours.
Do I lose interest if I transfer money out of my old savings account?
No. Interest is calculated daily and paid monthly, so you earn interest up to the day you transfer the money out. Your old bank will not penalize you for moving the balance. High yield savings accounts pay interest on the full balance you keep in them.
Is it safe to give my account number to the new bank?
Yes. Giving your old account number and routing number to your new bank is standard practice and secure. The new bank uses this information only to pull money from your old account. You can revoke the link at any time by logging into either bank and removing the connection.
What if I transfer money and then change my mind?
For ACH transfers, you have one business day to cancel before the money leaves your old account. After that, the transfer is complete and you cannot reverse it — you would have to transfer the money back manually. For wire transfers, cancellation is almost impossible once the money has left your bank.