Closing your Account

The 'Bersani' Decree (Law 243 of the 4th of August 2006), which created rules for banking competition and consumer protection, declared that an account holder has the right to close their account at any time without having to pay a penalty or any closure fees. Often, if you wish to close an account, it is because you consider that the conditions offered to you by another bank are better than those offered by your current one. When you decide to transfer your account to another bank there are several aspects to keep in mind:

• choose a new account - by comparing the advantages and disadvantages of the different accounts on offer

• set up new direct debits for any payments, such as bills, that are regularly taken from your account

• ensure that any transfers into your account on a regular basis, for example your salary or pension, are redirected to the new account

• check that any payments you have authorised will have cleared before your account closes

• start the account closure procedure.

To close your account you should send a written request to the bank, together with your chequebook, your credit card and your electronic account card. The time needed to close your account depends on any transactions which are not yet concluded, and the policy of your individual bank. Your bank is entitled to ask you to pay any account management costs incurred between the 1st of January of the year you close the account and the exact date you close the account; they can also charge you for sending a final account statement.

The procedure is more complicated if you have an account which contains stocks and shares. In this case, closing the account and transferring your investments to another bank is expensive. It may be best to keep your investment account open until the end of the investment term, to avoid charges.