Closing a bank account can seem daunting, mostly due to worries about negative impacts on your credit score (and the hassle of getting it done). But here, it’s a relatively safe decision due to how Singapore measures your credit score, which is different from other countries. 

That said, while closing a bank account won’t appear on your credit report, indirect effects can still happen if the account isn’t handled properly — we’ll explain how that works in the sections below.

In most cases, closing a bank account won’t hurt your credit score.

That’s because bank accounts are not included in credit reporting in Singapore. The Credit Bureau Singapore (CBS) tracks data related to your borrowing behaviour — such as loans, credit cards, and payment histories — but not your savings, current, or joint accounts. These types of accounts are not credit products, so they don’t factor into your credit score at all.

Still, there are situations where things can go sideways. So while closing a bank account doesn’t impact your score directly, the way you do it can lead to indirect consequences — especially if your account isn’t properly settled beforehand.

Your credit score could drop — not because you closed the account, but because of what you left behind.

If a bank account is closed while still carrying unpaid fees, or if it’s overdrawn due to an active overdraft facility, the bank might escalate the outstanding amount to a debt collection agency. Once that happens, the debt can be reported to CBS and appear on your credit report.

Here are some common ways this might happen in Singapore:

• You forget to cancel GIRO payments to telcos or utility providers, and a charge bounces after account closure.

• You don’t disable automatic top-ups (e.g. insurance premiums or travel card reloads), leading to overdraft fees.

• Your DBS or POSB account is linked to a credit facility, and the overdraft is triggered unknowingly.

• You close a CPF-linked bank account without updating your CPF, IRAS, or HDB records, causing payment failures.

To avoid this, always ensure your account is in good standing before requesting closure. Any unpaid charges or automated withdrawals could quietly snowball — and end up dragging your credit score down.

Here’s a simple checklist to help you close your bank account cleanly — and avoid any credit-related headaches:

1. Cancel all GIRO arrangements
   Check for linked subscriptions, telco bills, insurance premiums, or utility payments and terminate them properly.

2. Transfer out all funds
   Empty the account, but leave a small buffer for any pending charges or fees that haven’t cleared.

3. Unlink PayNow and other services
   Remove your account from PayNow, PayLah!, DBS Remit, or other linked payment services.

4. Update CPF, IRAS, HDB, and LTA records
   If your account is linked to CPF refunds or tax payouts, update the relevant agencies with your new bank details via SingPass.

5. Monitor the account for at least one full billing cycle
   Keep the account active temporarily to catch any delayed payments or charges.

6. Request written confirmation of closure
   Ask your bank for official proof that the account has been closed with no outstanding issues.

7. Consider downgrading to a basic account
   If you're unsure, switching to a no-fee option lets you maintain access without the hassle of full closure.

Done right, closing a bank account in Singapore is low-risk — but only if you check all the right boxes. Take a few extra minutes to wrap things up properly, and your credit score will remain untouched.