To close a joint bank account, redirect any automatic payments and direct deposits, bring the balance to zero or arrange a payout, then submit a signed closure request to the bank in person, online, or by certified mail. Whether you can do this alone depends on how the account was set up: accounts joined by “or” let either owner close unilaterally, while accounts joined by “and” require every owner to sign. Most closures take a few business days to two weeks once the paperwork is complete.
Check Whether the Account Is an “And” or “Or” Account
The word between the owners’ names on your signature card decides who has authority. An “and” account requires signatures from every listed owner before the bank will process a closure. Neither person can drain the funds or shut the account down alone. An “or” or “and/or” account works the opposite way: any single owner can withdraw the entire balance and submit a closure request without the other person’s knowledge or consent. The bank treats either owner as having full authority.
If you don’t remember which designation you signed up for, check the signature card from account opening or ask the bank directly. This one detail changes everything about what you can do next.
Redirect Payments and Deposits Before You Close
The single biggest mistake people make is shutting the account down before rerouting the money moving through it. If a utility bill, insurance premium, or loan payment tries to pull from a closed account, the transaction bounces. A missed credit card or mortgage payment that ages 30 days or more can seriously damage your credit score.
Pull at least three months of statements and map every recurring debit and credit. Three months catches quarterly charges that a single month would miss. Then redirect direct deposits early, because employers and government agencies can take several weeks to process a routing change. If a paycheck hits a closed account, the bank rejects it and the money sits in limbo until the sender reissues it. Set up the new account, confirm at least one successful deposit there, and only then start closing the old one.
Gather Your Documents
Once the automated activity has stopped, you’ll need:
- The account number and routing number, found on any statement or at the bottom of your checks.
- Government-issued ID for each owner, such as a driver’s license or passport. Both owners must present ID for “and” accounts.
- An account closure form or a signed letter of instruction. Some banks have their own form; others accept a letter stating the account number, all owners’ names, the reason for closure, and where to send the remaining balance.
Before you submit anything, request a current statement and confirm the exact balance. Outstanding checks and pending debit card transactions can take days to clear, and the bank won’t finalize closure while transactions are still settling.
Submit the Closure Request
You have three main options for delivering the paperwork. Walking into a branch is the fastest: a bank officer verifies identities, confirms signatures, and can often initiate the closure on the spot. If both owners have to sign and can appear together, this is the simplest route. Some banks now allow closure through their online banking portal, which creates a digital paper trail and works well when co-owners live in different cities. The third option is mailing signed closure documents by certified mail with return receipt requested, giving you postal proof the bank received your request.
After the bank receives everything, processing typically takes a few business days to two weeks. The bank checks signatures against the original account records, confirms no transactions are pending, and generates a closure confirmation. Keep that confirmation letter or email permanently. Without it, you have no proof the account was formally closed, and the bank could later treat the account as abandoned rather than terminated.
Getting the Remaining Balance
The bank will disburse the balance in whichever form you request. A cashier’s check mailed to the address on file is the default at many institutions. For “and” accounts, the check is typically made payable to all owners, meaning everyone has to endorse it before it can be deposited. If that’s going to be awkward, ask the bank to split the balance into separate checks or wire the funds directly to each owner’s individual account.
Interest that accumulates between your closure request and the actual processing date gets included in the final payout. If the account closes mid-cycle, a small residual interest payment may arrive a few days later.
Fees to Expect
Closing a joint account isn’t always free. Watch for these charges:
- Early closure fee. If you opened the account recently, some banks charge for closing within the first 90 to 180 days. These fees typically range from $5 to $50, though many large banks have eliminated them. Check the fee schedule from account opening.
- Cashier’s check fee, commonly around $10 per check.1Wells Fargo Bank. Consumer Account Fees and Information
- Wire transfer fee, generally $25 to $40 depending on whether you initiate digitally or at a branch.1Wells Fargo Bank. Consumer Account Fees and Information
- Overdraft fees on straggler transactions. If a check or automatic payment clears after your closure request but before processing finishes, the bank may reopen the account and charge an overdraft fee. The national average overdraft fee is roughly $27, though many large banks still charge $35 per incident.
Ask the bank for a complete fee disclosure before you submit closure paperwork. Better to know upfront than to see the deduction on your final payout.
What If the Other Owner Won’t Sign?
This is where most people get stuck. If your account uses an “and” designation and the other owner refuses to sign, the bank won’t close it, and you generally can’t override that requirement alone. Your options are limited but real:
- Ask the bank to remove you from the account. Some banks allow one owner to petition for removal from a joint account without the other’s consent. The account stays open, but your liability for future activity on it ends.
- Withdraw your share. If the account uses “or” designation, you can withdraw what you consider your portion, though the other owner could dispute the amount. Document everything.
- Seek a court order. In cases involving a contentious breakup or financial abuse, a court can order the bank to freeze or close the account and divide the funds.
Closing After a Co-Owner’s Death
Most joint bank accounts include a right of survivorship, so when one owner dies, the surviving owner automatically becomes the sole owner of the funds. The money doesn’t pass through probate. The surviving owner can close the account by presenting a certified death certificate and valid identification at the bank.
The Consumer Financial Protection Bureau confirms that most joint accounts are held with rights of survivorship, and the money passes to the surviving owner or is split equally among remaining owners if there are more than two.2Consumer Financial Protection Bureau. What Happens if I Have a Joint Bank Account With Someone Who Died? Check your account agreement to confirm this applies to yours. If the account lacks survivorship rights, the deceased person’s share may need to go through probate before you can access it.
Closing During a Divorce
Tread carefully. Many divorce filings trigger automatic temporary restraining orders that prohibit either spouse from draining or closing joint accounts. Closing the account in violation of such an order can result in contempt of court charges and damage your standing in the property division. Talk to your attorney before touching joint accounts during active divorce proceedings.
Credit and Banking History Consequences
Closing a bank account doesn’t directly affect your credit score. Banks don’t report account openings or closures to the three major credit bureaus. Indirect damage is real, though, and happens in two ways.
If you close the account with a negative balance and don’t pay it off promptly, the bank can send that debt to a collection agency. A collection account on your credit report can devastate your score and stays there for seven years from the date of the original delinquency. And if automatic payments for a credit card or loan were still tied to the closed account and a payment gets missed by 30 days or more, that missed payment hits your credit report directly.
Beyond credit scores, banks report accounts closed with negative balances to ChexSystems, a specialty consumer reporting agency that most banks check before opening new accounts. A negative ChexSystems record can make it difficult to open a checking or savings account anywhere for up to five years. Always bring the balance to zero before closing.
Don’t Just Abandon the Account
If you stop using the joint account without formally closing it, the bank doesn’t let it sit forever. After a period of no customer-initiated activity, typically three to five years depending on your state’s escheatment laws, the bank is required to turn the remaining balance over to the state as unclaimed property.3HelpWithMyBank.gov. When Is a Deposit Account Considered Abandoned or Unclaimed The bank generally has to try contacting you first, but an outdated address means you may never get the notice.
You can reclaim escheated funds from your state’s unclaimed property office, but the process is slow. Meanwhile, the account may have been accruing maintenance fees that eat into the balance. Formally closing takes a fraction of the effort of recovering money from a state treasury later.
Handling the Final 1099-INT
If the joint account earned $10 or more in interest during the year, the bank is required to file a Form 1099-INT with the IRS.4Internal Revenue Service. Instructions for Forms 1099-INT and 1099-OID The bank typically issues the 1099-INT under only one owner’s Social Security number, usually whoever is listed first. That person appears to the IRS as having earned all the interest, even if the other owner contributed half the money.
If you received the 1099-INT but didn’t earn all the interest, you can report only your share on your tax return and file a nominee return (another 1099-INT) to allocate the rest to the other owner. It keeps the IRS from thinking you underreported income.
One more tax angle: if you’re closing an account with a non-spouse co-owner and one person takes more than their contributed share of the balance, the excess could be treated as a gift. In 2026, the annual gift tax exclusion is $19,000 per recipient.5Internal Revenue Service. What’s New — Estate and Gift Tax Transfers below that threshold don’t require a gift tax return, but larger amounts might.