Can I Reopen A Closed Bank Account?

‍If you’re like most people, you probably have a handful of bank accounts. Some may only be with one specific bank, while others may be with multiple banks. You may have an account at a local bank branch, or your primary financial institution might be an online-only bank. Whether you have many bank accounts or just one, it’s always a good idea to keep tabs on them from time to time. There are many reasons why a person would close their bank account and perhaps even end their relationship with that particular financial institution. Perhaps they felt like there were better offers elsewhere or that they no longer used the services offered by their current bank. However, life can take unpredictable turns at any moment and there are plenty of valid reasons why someone might want to re-open an old account again at some point in the future. Here is everything you need to know about reopening closed bank accounts and why you might want to do so if the circumstances change.

Can I Reopen A Closed Bank Account?

It is possible to reopen a closed bank account, although there may be some limitations and fees associated with doing so. Usually, you will need to contact the bank directly to find out what their specific policies are for reopening closed accounts. In some cases, the bank may require you to open a new account and transfer your old account balance to the new account. Other times, the bank may be willing to simply reactivate your old account.

What Are The Reasons Why You Might Want To Reopen A Closed Bank Account?

1. Your bank account is closed and you want to re-open it.
2. You need the money in your account and you don’t have another way to get it.
3. You want to access the money in your account without incurring any fees or monthly charges.
4. The bank closed your account for reasons that are not clear, but it’s possible that they might have changed their terms of service and you no longer wish to be a customer of that institution.
5. The bank closed your account for some reason and you believe there may be a mistake on their part, but it’s difficult to determine what exactly happened or when the mistake was made in the first place because their records are lost or destroyed.
6. Some banks do not allow people who do not live at the address where they were opened to open an account with them, so you may need to open one somewhere else if this is the case with your current financial institution.
7. You want access to some of your funds that are currently trapped by a freeze or hold on your credit card, bank check, or savings accounts due to a security issue with one of those accounts (for example, fraud).  This is very unlikely in most cases, but it can happen if there was fraud involved with an online purchase that led to an investigation by law enforcement authorities or if someone had stolen all of your login credentials for online banking services like PayPal or Amazon Payments which caused a freeze on all of your account balances.
8. You can use the funds in your account to pay for something like a car or house repair that you need to do and you don’t have the money in another form from which you can draw funds.
9. You want access to some of your funds that are currently trapped by a freeze or hold on your personal loan due to a security issue with one of those accounts (for example, fraud).
10. You want access to some of your funds that are currently trapped by a freeze or hold on an investment account due to a security issue with one of those accounts (for example, fraud).

How To Re-Open A Closed Bank Account

1. Go online to the bank’s website and see if you can find any information about how to re-open your closed account.
2. If there is any information, read through it carefully, including the terms and conditions of the account.
3. If there is no information about re-opening accounts or other ways to access funds from a closed account, then you will need to contact that bank in person or by phone.
4. The best way to contact that bank is by phone. Call them and ask for someone who can speak with you in person or on the phone directly about re-opening your account and accessing funds trapped inside of it.  You may have to provide some form of identification (like a copy of a utility bill) that proves that you live at the address where the closed account was originally opened in order for them to open up an account for you at that financial institution even if your current address does not match up with what was originally on file with them (they may be willing to do this for free or at least without charging any fees).  They should be able to determine what happened with your closed account since they are likely still keeping records on file as well as keep copies of all communications you have sent them over time as well as any documents they have sent back out to you themselves once they received them (they might also be willing to provide copies of these records too).
5. Because there is likely a security issue involved with one or more of the accounts that remain frozen or under a hold, you should contact a lawyer to help you with this and/or to represent you in court if you decide to proceed with it.
6. If the bank cannot or will not re-open your closed account, then you should proceed with this next step.
7. Write a letter to the bank or other financial institution explaining in detail what happened with your closed account (especially if it is still under a security hold), why you want access to those funds now, and what action needs to be taken by them in order for them to do so (be sure to include copies of any documents they have sent out in response and any communications that have been sent back and forth between yourself and them).  You can also provide copies of any written correspondence between yourself and the bank as well as copies of any documents they have sent out to you themselves once they received them (they might also be willing to provide copies of these records too).
8. Send the letter via certified mail, return receipt requested, with additional proof of delivery (like a copy of the certified mail receipt) if requested by the bank or other financial institution.
9. Wait for some type of communication from the bank on this matter within 30 days per the above instructions as well as do everything possible within your power based on what information has been provided by yourself above including contacting lawyers or other legal representatives who can help get things started for you at least until further notice.
10. If the bank or other financial institution fails to respond to your letter within 30 days, you can then proceed with the next step which is contacting a lawyer (or another legal representative) as well as filing a case in court and requesting that the funds be released to you (if they are still under a security hold).
11. Write a letter to the bank or other financial institution explaining in detail what happened with your closed account (especially if it is still under a security hold), why you want access to those funds now, and what action needs to be taken by them in order for them to do so (be sure to include copies of any documents they have sent out in response and any communications that have been sent back and forth between yourself and them).  You can also provide copies of any written correspondence between yourself and the bank as well as copies of any documents they have sent out to you themselves once they received them (they might also be willing to provide copies of these records too).

Why Should You Reopen A Closed Bank Account?

1. Closing a bank account is not a final decision and can be done so at any time by the bank or other financial institution.  You have the right to reopen your bank account at any time in the future if you so desire and you can also close your account again at any time as well.
2. Closing a bank account does not necessarily mean that you will no longer be able to access those funds or that you will no longer be able to make payments on those funds in the future (although it may).  Closing an account does not mean that you are barred from opening another one with that same financial institution or any other financial institution for that matter.
3. You may want to consider closing an existing bank account just in case it is under a security hold (which is another reason why you should re-open it again).  If this is the case, then contact the bank and explain to them why you are asking them to release your funds again now (be sure to include copies of any documents they have sent out in response and any communications that have been sent back and forth between yourself and them).
4. It’s always good practice to keep all banking records as well as all correspondence with banks (and other financial institutions) just in case there are things they need to know about your financial situation, especially if there are some past issues they might need to address regarding your accounts before giving access to those funds again without further delay.
5. If you do not reopen your bank account, you will be unable to access those funds in the future and may also be unable to make payments on those funds in the future (although it may).

Conclusion

Closing a bank account can be a stressful decision to make. Sometimes, it can feel like a relationship break-up and that you may never want to speak to that bank again. However, if you’ve closed an account in the past, it’s a good idea to keep tabs on it to see if the same bank is offering better rates or a better deal. If you decide that you need to reopen an old account, make sure that you’re careful about the terms and conditions associated with the account. Make sure that you take a look at the interest rates and other features available. Finally, make sure that you keep tabs on that account from time to time so that you can keep track of your available funds.