To close your bank account, the Bank of Portugal (BdP) advises that you can do so “at any time and without costs,” provided you meet certain “requirements.”
In a statement, the banking supervisor outlines the following guidelines:
#1 If you wish to close your account to switch to another bank, you can request the account switching service.
“You can request, at any time, the transfer of your account from one institution (“origin institution”) to another (“destination institution”).
All account holders must request the account switch in writing to the institution where they wish to transfer their account (destination institution).
The account switching service can also include, if desired, the closure of the origin account.”
#2 Account holders can request the closure of the account at any time.
“Account closure must be formalized by all account holders at the credit institution, either in person or through remote communication channels. Requesting via digital channels should always be allowed if these channels are provided by the credit institution for opening or managing the account.
This request can be made at any time, but the credit institution may require notice if expressly stipulated in the contract. The notice period cannot exceed one month.
You can also request immediate account closure if you disagree with a proposed change to the contract terms by the institution. This request must be submitted before the proposed date for the contract changes.”
#3 Account closure is free of charge.
“If the holders are consumers or microenterprises, the credit institution cannot charge any fees for account closure.
For other types of clients, closure fees may only be charged if the account was opened less than six months ago, and only to cover the costs incurred by the institution.”
#4 Be aware of reasons that might prevent account closure.
“An account may not be closed if any of the following situations apply:
if there is a legal or court order (for example, garnishment);
if there is a lien on the account balance.
In these circumstances, the institution must inform the holder of the inability to close the account, unless disclosure is prohibited by law.
An account can be closed even if:
it has a positive balance (“credit balance”);
it is associated with an overdraft facility, provided that the holder authorizes the closure and no amounts have been used from the facility;
it is linked to risk coverage insurance contracts, in which case the holder must indicate another account to associate these contracts with.”
#5 There is no obligation to return debit cards and unused checks.
“Institutions cannot require you to return active debit cards and unused checks to close the account. These cards and checks can be canceled if you authorize the cancellation.”
#6 Amounts credited to your account after requesting closure must be made available to you without fees.
“If amounts are credited to your account after the closure request is submitted, the institution cannot charge fees for making these funds available.”
#7 You may indicate another account for the debit of loan payments or the transfer of financial instruments linked to the account you plan to close.
“The account holder can specify another account — either with the same institution or another — for the debit of loan installments or for the transfer of financial instruments registered or deposited in the account.”
#8 Institutions must inform clients of any actions required to close the account.
“Institutions must inform clients, in durable format and via established communication channels, throughout the various stages of the account closure process, particularly when there are actions that account holders need to follow to ensure account closure.
Learn more about account closure on the Banco de Portugal’s Customer Portal, the platform for all banking clients.”
