How to close your Ally Bank account
You can close an Ally Bank account online, by phone, or by mail. The fastest route is calling Ally's customer service at 1-855-925-2559, where a representative can process the closure when ready and answer questions about your balance or pending transactions. If you prefer to handle it yourself, you can also initiate closure through your online banking portal or send a written request by mail to Ally's customer service address.
Before you close, withdraw or transfer any remaining balance, confirm there are no pending direct deposits or automatic payments, and make sure you have received all statements you need for tax or record-keeping purposes. Ally does not charge a fee to close an account, but you are responsible for any overdraft balance that exists at the time of closure.
Key Takeaways
- Call 1-855-925-2559 to close your account over the phone in minutes, or use your online banking portal to start the process yourself.
- Move your money out first by withdrawing cash or transferring to another bank account, since Ally will not hold funds after closure.
- Cancel or redirect any automatic payments or direct deposits before you close, or they may fail and create overdraft fees.
- Keep your final statements and account number for your records, especially if you need documentation for tax purposes.
- If you have an overdraft balance when you close, you remain responsible for paying it even after the account is closed.
Step-by-step: closing by phone
Calling Ally customer service is the most direct method. Have your account number and a form of identification ready. When you reach a representative, tell them you want to close your account. They will confirm your identity, review your account balance, and ask whether you want to keep the account open temporarily to receive a refund check if there is a remaining balance, or whether you want them to transfer the balance to another account you provide.
The representative will also ask about any pending transactions or scheduled payments. If you have automatic bill payments set up through Ally, they will remind you to cancel those separately or redirect them to your new bank. Once you confirm the closure, the account will close when ready, though it may take a few business days for the closure to appear in your online portal.
Closing through your online banking portal
Log into your Ally online account and navigate to the account settings or help section. Look for an option labeled "Close Account" or "Account Closure." Ally's portal will walk you through a series of questions about your reason for closing and will confirm your account balance. You will need to specify how you want any remaining funds handled — either mailed as a check or transferred to another bank account.
After you submit the closure request online, Ally will send you a confirmation email. The account will not close when ready; Ally typically processes online closure requests within one to two business days. If you need the account closed faster, calling is a better option.
Closing by mail
Write a letter to Ally requesting account closure and include your full name, account number, and the date. Keep the letter brief and clear. Mail it to Ally Bank's customer service address, which you can find on your statement or by calling 1-855-925-2559 to confirm the current mailing address.
Closure by mail is the slowest method and typically takes two to three weeks from the date Ally receives your letter. There is no tracking, so you will not know when Ally received it or when the closure was processed until you check your account or receive a confirmation letter. For this reason, mail is best used only if you have no urgent need to close the account.
What to do with your money before closing
Withdraw your full account balance before or at the time you request closure. You can withdraw cash at any ATM using your Ally debit card, transfer money to another bank account using the transfer feature in your online portal, or request a check. If you leave money in the account after closure is initiated, Ally will either mail you a check or transfer the funds to the account you specified during the closure process.
If you have a savings account with Ally in addition to a checking account, you must close each account separately. Closing one does not close the other. Make sure you move money out of both before the closure date.
Canceling automatic payments and direct deposits
Before you close your account, log into your Ally portal and review all scheduled payments and transfers. Look for any recurring bills, subscription payments, or transfers you have set up. Cancel each one individually or redirect them to your new bank account. Ally will not automatically cancel these for you when the account closes.
If a payment attempts to process after your account is closed, it will fail and may result in an overdraft fee or a late payment on the bill itself. Contact each company or service that has your Ally account information and provide them with your new bank details. This includes your employer if you receive direct deposit, your insurance company, utility providers, and any subscription services.
What happens to your account after closure
Once your account is closed, you cannot use your Ally debit card, and you will lose access to your online banking portal for that account. Ally will keep records of your closed account for a set period for regulatory and tax purposes. If you need a copy of old statements or transaction history after closure, you can contact Ally customer service and request them.
If you have an outstanding balance or overdraft on the account at the time of closure, you remain legally responsible for paying it. Ally may pursue collection or report the debt to credit bureaus. Closing the account does not erase the debt.
Frequently Asked Questions
Does Ally charge a fee to close my account?
No. Ally does not charge a fee for closing an account. However, if your account has an overdraft balance, you are responsible for paying that amount, and Ally may charge overdraft fees if the balance remains unpaid.
How long does it take to close an Ally account?
Closing by phone is when ready. Closing through your online portal takes one to two business days. Closing by mail takes two to three weeks. The time depends on the method you choose and how quickly Ally processes your request.
What if I have a pending direct deposit or automatic payment when I close?
Pending transactions may fail after your account closes, which can result in overdraft fees or late payments on bills. Cancel or redirect all automatic payments and direct deposits before you close. Contact your employer and any companies with your account information to update your banking details.
Can I reopen my Ally account after I close it?
You can open a new Ally account at any time, but you cannot reopen a closed account. If you closed your account and want to bank with Ally again, you will need to open a new account with a new account number.
What should I do if I forgot to cancel a payment before closing?
Contact Ally customer service when ready at 1-855-925-2559 and explain the situation. If the account is still in the process of closing, they may be able to delay closure or help you redirect the payment. If the account is already closed, contact the company or service that attempted the payment and explain that your bank account is closed.