How to Close a Foreign Bank Account
Foreign banks are institutions that hold funds in a depository account in a country other than the United States. The account is also called a foreign bank account, and when you no longer want to hold that account open you should go through steps to formally close it. Leaving the account open may result in fees, charges or tax problems.
- Stop using the account. Do not
deposit or withdraw any funds from this account. - Make sure the account has no
outstanding checks, debits or electronic charges that will come
through. Closing the account before everything has cleared can cause
returned item charges. - Go to the foreign bank and request
that the account be closed. If it is not possible to go to the bank
in person, call them on the telephone and inquire about the account
closure process. If you are not fluent in the language of the bank,
you should a translator to ensure that the information is passed
correctly to the bank representative. - Verify the current exchange rate
before closing the account. You will want to know how much money you
will be getting back from the bank. You will have to take into
account that there will be a conversion rate, and that your money
may be worth more or less than the U.S. Dollar. - Ask for a print out or ledger of
the account. This will help to show that all items are reconciled
and what the final balance is. Your final bank statement may be of
assistance as well. This should show all deposits and withdrawals
made from the account. - Ask for an international cashier
check or money order. These checks are easy to deposit in a U.S.
Bank or cash or at a check cashing center.