Ally Bank offers customer-friendly features and amazing banking services. In fact, Ally Bank has expanded its benefaction to clients. However, it’s totally up to you whether you want to keep the same bank forever or discontinue the relationship. How to close an Ally Bank account online?
On the other hand, you might want to close an Ally Bank account on behalf of a deceased individual. Closing down bank accounts can be a bit complicated if you don’t know the exact procedure. Let’s check out how you can close an Ally Bank account, shall we?
5 Easy Steps to Close a Deceased Beloved One’s Ally Bank Account
Established in 1919, Ally Bank started its journey by offering automobile loans. However, the bank has expanded its services to savings and checking, investments, retirement accounts, mortgages, and more. Instances can arise where you have to close an Ally Bank account.
For example, how do you close an Ally Bank account that belonged to your deceased loved one? Start by cancelling all credit cards to close a deceased one’s account at this bank. Next, you have to carefully observe and execute the following steps.
However, the following steps are mentioned for closing a joint bank account, assuming that you are the other account holder. Here’s what you need to do:
1. Contact the Home Office
Ally Bank offers all its services online, and it does not require you to visit its physical location. Instead, you should call Ally Bank’s home office to inform them that you want to close an account. However, the agent over the phone may not provide you with serious information. They can only guide you through which documents you should keep handy in the process.
2. Keep All the Required Documents Ready
Gathering all the mentioned documents is a prime step regarding how to close an Ally Bank account online. In fact, Ally Bank will verify your documents and determine whether your intentions are right. The bank will inspect the documents one by one. Hence, you must present them, or else, you can’t shut down the account legally.
What types of documents do you require? Reportedly, an Ally Bank representative has let us know that you will require the following documents:
- Collect the legitimate copy of the person’s death certificate from the specific authority. Moreover, you can avoid the chances of fraudulent activities by submitting the death certificate.
- The next document you need is to prove your executorship. Well, only an executor of a deceased person’s estate owns the authority to close down bank accounts and disburse the remaining funds. You can use any of the following documents to prove your executorship to a bank:
- Letters of testamentary
- Certified executorship
- Letters of administration
- Personal representative document
- As an alternative, you can get a small estate affidavit document if the person’s assets don’t qualify for the formal probate procedure. Hence, the affidavit offers you the authority to take down the person’s bank accounts and manage the training property.
- Apart from these, you must keep a valid photo ID proof handy to close an Ally Bank account online. For example, Ally Bank allows the following forms of ID:
- Driver’s license
- Immigration card
- Common access card or U.S. military card
- U.S. passport
- Permanent residence proof
- Foreign government passport with residence proof
3. Draft a Letter of Instruction
Now, you have to write down or obtain a letter of instruction. However, a letter of instruction must explicitly specify the bank’s responsibility for the deceased person’s remaining funds. Who is eligible to write a letter of instruction to Ally Bank?
The following individuals can qualify for writing a letter of instruction to close an Ally Bank account online:
- A nominated owner, as per the deceased person’s will
- An assigned trustee
- A representative of the estate
- A stated beneficiary
4. Send All Required Documents via Mail Services
Afterwards, you must mail all the mentioned documents to the main office of Ally Bank. Ensure that you mail it securely. Therefore, request the post office to demand a signature upon receiving the parcel.
Additionally, you can ask for a tracking number to make sure that the parcel reaches the right destination. In fact, you will get a notification every time your parcel gets picked up.
5. Talk to the Customer Service
Your documents may take up to 10 days to reach the main office of Ally Bank. Once your parcel gets received at the destination, you can contact the customer service of Ally Bank. At that point, customer service has everything required to close an Ally Bank account.
So, you call the customer service of Ally Bank, and the representative will take the necessary actions to close the account.
3 Simple Steps to Close Your Own Account at Ally Bank
Ally Bank doesn’t permit mail-in requests to close an account. Instead, you can call customer service or chat with a representative while logged in to raise a request to close your Ally Bank account. Otherwise, you can send a message while logged in.
How to close your own Ally Bank account online? Here’s how you can take care of the matter yourself:
1. Contact the Home Office
You can directly call the home office of Ally Bank. Here’s the customer service helpline of Ally Bank: 1-877 247 2559. So, dial the helpline number and an accounts manager will talk to you. Next, you can explain that you want to close your Ally Bank account along with the reasons.
Next, the customer representative will ask you a handful of questions to verify your identity and action. These verification questions are the same that you chose while signing up. Hence, it won’t be difficult to answer them. Answer those verification questions appropriately to proceed to the next step.
2. State Where You Want to Transfer Your Funds
Ally Bank should transfer your funds from the particular bank account to where you specify if you have funds in your Ally Bank account. What happens to the remaining funds in your bank account after you close your Ally Bank account online?
Well, Ally Bank offers you the following options to transfer your funds:
- Transfer funds to another linked bank account
- Wire funds
- Mail a check
3. Confirm Your Account Closure
Ally Bank will close your account after the representative asks for your approval for the final closure of your account. In case you are planning your digital afterlife or end-of-life affairs, then you must remove the account from your personal records.
Additionally, prepare executorship and other documents so that the assigned individual can close your account in the right manner after your demise.
Fees to Close Your Ally Bank Account
Do you have to pay to close your Ally Bank account? Well, Ally Bank doesn’t demand any charges to close your savings account. However, you need to pay the IRA account closure fee of $25 at Ally Bank if it’s anything but a savings account.
On a related note, you have to pay the Ally Bank account closure fees after removing all your funds from your account. In addition, Ally Bank can charge you an extra $50 if you transfer your partial funds while closing the account. Moreover, the fees can go as high as $75 if you transfer full funds at the time of closing your Ally Bank account.
Will Closing Your Ally Bank Account Affect Your Credit Score?
Your credit score relies on the information your credit report owns. Opening or closing down a bank account doesn’t have serious implications on your credit report or your credit score. So, how to close your Ally Bank account should not hurt your credit score.