A bank transfer is when money is sent from one bank account to another. Transferring money from your bank account is usually fast, free and safer than withdrawing and paying in cash.
How to make a bank transfer
There are a number of ways you can make a bank transfer.
Some of the most common bank transfer methods are:
Telephone and online banking offer a fast, usually free and easy way for you to transfer money into another account.
Online bank transfers
Log in to your online account and select the option for making a payment. Follow the instructions on screen to enter the correct details. Some banks also offer smartphone apps that allow you to transfer money. Find out how to set up an online account in our guide How to stay safe when using online banking.
Telephone transfers
Call your bank’s telephone banking service. The bank’s customer services representative will guide you through the process. In some cases, you might be guided through by an automated recording.
In-branch bank transfers
If you have the money in cash, you can pay it into the account of the person you owe it to in a branch.
Never pay someone you don’t know for by bank transfer. If things go wrong, your bank isn’t obliged to refund your money. Find out more on the Get Safe Online website
However you choose to transfer money, you’ll usually need the following details of the person or organisation you’re paying:
- The date you want the payment to be made.
- Name of the person or business you’re paying.
- Six-digit sort code of the account you’re paying.
- Eight-digit account number of the account you’re paying.
- A payment reference (often your name or customer number) to let them know the money came from you.
- Sometimes you’ll need the name and address of the bank you’re sending the money to. This helps them to check that sort code is right.
How long does it take for the money to be transferred?
Payments made using Faster Payments will sometimes be received immediately after leaving your account. But can take up to two hours.
This option is free, available 24 hours a day and typically used in online banking, mobile apps, over the phone or in branch.
Most banks let you transfer at least £10,000, but some have much higher limits.
You can check your bank’s limit on the Faster Payments website
You could also use:
- Bacs payments. These take up to three working days to clear. Find out more on the UK Finance website
- CHAPS (Clearing House Automated Payment System). Payments will go through on the same day, as long the transfer is made by a certain time. CHAPS payments often charge a fee. Find out more on the Bank of England website
- E-Payments. You can use providers such as PayPal or Google Pay to send money online if you’re uncomfortable sharing your bank details. Find out more in our guide E-payments – why, when and how to use them.
What does confirmation of payee mean?
This is a new scheme offered by most high-street (and online) banks to give you more protection when sending money by bank transfer.
When you try to make a bank transfer to a person you haven’t paid before, your bank will check that the name you’ve been given matches the name registered to that account number and sort code.
If it doesn’t, your bank will warn you, either that the name is a close match or that it’s totally incorrect. If this happens, double check you have the correct bank details as this could be the sign that a scammer is trying to trick you into sending them money.
Find out more about Identity theft and scams, and how to get your money back, in our guide Identity theft and scams: how to get your money back
For now, confirmation of payee only works for faster payments and CHAPS. It doesn’t yet work for BACS. You can check if your bank is offering the scheme on the UK Finance website
Double-check the details
Check every figure – even if your bank preloads them. It can be difficult to get your money back if you send it to the wrong account (more on this below). It can also be worthwhile making a much smaller “test payment” of £1 or less before transferring the full amount.
Get the person on the phone to repeat figures and names
If you’re doing a transfer through your telephone banking service, ask the person taking your call to repeat every number and letter to you.
Beware of going overdrawn
Unless you’ve stated a future payment date, the money will leave your account straight away. So make sure you have enough available to avoid expensive fees.
Pay attention to ‘confirmation of payee’ warnings
As explained above, if the name you’ve been given doesn’t match to the name registered to those account details you might be dealing with a scammer. Take care before making the payment.
Find out about avoiding bank transfer scams on the FCA website and the Take Five website
Other ways to pay
If you need to make a payment frequently, for example a monthly energy bill, you might be better off setting up a Direct Debit or standing order.
Find out more in our guide Direct Debits and standing orders
Cheques can also be a useful way to send money or pay one-off bills.
Find out more in our guide How to use banker’s drafts and cheques
If you have a problem with a payment – for example, if the money doesn’t arrive – your first step is to contact your bank.
Your bank won’t be able to stop the payment if it’s already been made. Keep a record of all correspondence you have with your bank while sorting the problem. And make a note of the error, including the date it was made and the bank details you sent the money to.
Your bank will start investigating within two working days of you telling them about it – it doesn’t matter if the error didn’t happen recently.
After the bank investigates, your money should be returned within 20 working days. If it’s clear it was a genuine mistake, your bank will contact the bank you mistakenly sent the money to get your money back.
If there are issues – for example, if the person you accidentally sent it to refuses to return it – your bank will let you know the result of their investigation within 20 working days from the date you reported the error.