Before you start
Pick the new account first: compare fees with the account-fee calculator and confirm deposit protection in the directory. FCAC suggests reviewing several months to a year of statements to find every deposit and automatic payment.
The steps
- List every money flow
Two columns from your statements: money in (pay, benefits, refunds, transfers) and money out (pre-authorized debits, bill payments, card payments, e-Transfers). - Open the new account
Bring acceptable ID — see opening a bank account. Ask for a direct-deposit form. - Move deposits first
Employer payroll, and CRA and Service Canada direct deposit. Benefits and refunds follow the CRA update. - Move withdrawals second
Give each biller your new details and ask when the change takes effect. Online bill payees don’t transfer, so add them again. Move Interac e-Transfer autodeposit, which can only point to one account. - Overlap for a full cycle
Keep a cushion in the old account and watch both until nothing is hitting the old one. - Close in writing
Move the final balance and ask for written confirmation the account is closed.
The bank-switching checklist builds a dated plan from what is connected to your account and lets you tick items off.
How do I move government payments to my new account?
Each program has its own process, and changing one doesn’t change the others. The CRA does not run CPP, OAS or EI.
| Payment | Where to change it | How long it takes |
|---|---|---|
| CRA payments (tax refunds and benefits the CRA pays) | Your CRA account (Profile, then Direct deposit) or your bank or credit union’s website | Next business day after you consent online; the mailed form can take 3 months or longer. Phone updates are no longer offered. |
| Old Age Security | My Service Canada Account: Profile, then Manage my payment destination | Up to 30 days — submit at least 30 days before your payment date |
| CPP, EI and the Canada Disability Benefit | Not through My Service Canada Account for now: request a call back with an eServiceCanada form, visit a Service Canada office or call the benefit’s call centre | Ask when the change takes effect |
The CRA says not to close your old bank account until your first payment has been deposited into the new one.
Worked example: a six-week switch
| When | What to do |
|---|---|
| Week 1 | Pull 12 months of statements and list every deposit and withdrawal. Open the new account. |
| Week 1 | Update the CRA online. Change OAS in My Service Canada Account, or contact Service Canada for CPP or EI. |
| Week 2 | Give your employer the new details and ask which pay date will be the first one. |
| Weeks 2–3 | Contact each biller with a pre-authorized debit. Re-add bill payees. Move Interac e-Transfer autodeposit. |
| Weeks 3–5 | Watch both accounts. Keep a cushion in the old one. |
| Week 6 | After a full cycle with nothing hitting the old account, move the balance and close it in writing. |
How much should I leave in the old account?
Enough to cover everything still pointed at it for a full month. An illustration: if four pre-authorized debits totalling $900 still come out of the old account, keep at least $900 there, plus a buffer, until each one has moved. A bounced payment can still cost you: since March 12, 2026, federally regulated banks may charge up to $10 for an NSF on a personal deposit account.
Moving your balance: watch the cheque hold
If you move money by cheque, the new bank can hold it. FCAC says the maximum hold on a cheque of $1,500 or less is 4 business days if deposited in person or 5 another way, and on a larger cheque 7 or 8 business days. You get the first $100 right away when you deposit in person. Try the cheque hold calculator, or ask both banks about faster transfer options.
Should I switch? A quick decision table
| If… | Then… |
|---|---|
| You pay monthly fees you could avoid | Compare real costs in the true-cost finder |
| You use branches or cash often | Check the new bank’s branch and ATM access before you open anything |
| You have many automatic payments | Plan the full six weeks and use the bank-switching checklist |
| You have registered plans or GICs that haven’t matured | Move chequing now; move plans by direct transfer when GICs mature |
| You mainly want a better savings rate | You may only need a new savings account, not a full switch — compare |
Common mistakes
- Closing the old account before the first pay or CRA deposit lands in the new one.
- Asking your bank to stop a pre-authorized debit but not telling the biller. FCAC says that to cancel a PAD agreement you must notify the biller in writing.
- Forgetting yearly or irregular payments, such as insurance renewals, memberships or property tax.
- Forgetting Interac e-Transfer autodeposit and saved bill payees.
- Leaving a credit card or line of credit set to pay automatically from the old chequing account.
- Updating the CRA and assuming CPP, OAS or EI will follow.
Registered plans and investments
Ask the receiving institution to transfer TFSAs, RRSPs, FHSAs and RESPs directly. Withdrawing yourself can create tax or lose contribution room, and GICs may need to mature first. Budget 2025 proposed banning investment and registered-account transfer fees; check whether the rule is in force when you move.
If a payment goes wrong
For an incorrect or unauthorized pre-authorized debit you usually have 90 calendar days from the withdrawal to report it to your institution for reimbursement. To cancel a pre-authorized debit, tell the biller in writing. For other problems, use the bank’s complaint process and then OBSI — see how to make a bank complaint.
Will open banking make this easier?
Eventually. Budget 2025 said the government would work with banks to simplify switching primary chequing accounts and aims to legislate “write access” — including switching — by mid-2027. As of October 30, 2026 neither was in place. See open banking in Canada.
The account you forget to move is the one that bounces. Do the full statement review.
Frequently asked questions
How long does switching banks take in Canada?
Plan four to six weeks: a day to open the account, then one or two pay and billing cycles for everything to move over.
Does my new bank move my automatic payments?
Ask — some help. Otherwise you contact each biller with your new details. FCAC recommends keeping the old account open until all pre-authorized debits have moved.
Is there a fee to close a bank account?
It depends on the bank and how long you’ve had the account. If you opened it by phone, you have 14 business days to close it free and get account fees refunded.
How fast does a CRA direct deposit change take effect?
The next business day after you consent, if you change it in your CRA account or through your bank or credit union online. A mailed form can take three months or longer.
Does changing direct deposit with the CRA update my CPP or OAS?
No. The CRA doesn’t run CPP, OAS or EI. Change OAS in My Service Canada Account, and contact Service Canada for CPP and EI.
Can my bank cancel a pre-authorized debit for me?
Your bank may be able to stop a payment, but to cancel the PAD agreement itself FCAC says you must notify the biller in writing.
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