Switching business banks is one of those tasks that feels complicated but is actually very manageable with a clear plan. For medical practices, the main concern is making sure insurance reimbursements keep flowing — but with the right approach, you can transition smoothly over 2–4 weeks. This guide walks you through exactly how to do it.
Most practices switch because they're tired of paying per- ACH fees on every insurance reimbursement, because monthly maintenance fees are eating into their margins, or because their bank has no features designed for healthcare billing. What starts as a vague sense of "our bank costs too much" becomes concrete when someone actually adds up the fees — $480/year in ACH charges, $300/year in monthly fees, $720/year in wires — and realizes they're paying over $1,500/year for basic business banking.
Others are driven to switch by structural growth: expanding to multiple locations, setting up an MSO/PC structure that requires virtual accounts for per-entity EFT routing, or needing better cash management across entities. Whatever the catalyst, the process for switching is the same — and it's simpler than most practice administrators expect.
Step 1
Step 2
Step 3
STEP 4
If your EHR or clearinghouse (Availity, Change Healthcare, Office Ally, etc.) stores your bank account information for ERA/EOB deposits or remittance data, update those records to point to Lemma. This ensures your remittance data flows correctly and that any clearinghouse-level payment routing is aligned with your new account.
This step is often overlooked but matters for practices using lockbox services or automated EOB processing — the remittance data needs to match the account where deposits land.
STEP 5
Keep both accounts open and funded for at least 30 days after initiating the transition. Check your old account at least weekly — ideally every few days — for any deposits that haven't yet migrated. When you see a payment on the old account, identify which payer sent it and verify whether their portal update has been submitted or still needs to be.
The 30-day window covers most payer billing cycles. Once you've gone two full billing cycles without any deposits hitting the old account, you can safely proceed to close it. Don't rush this step — a single overlooked payer can send a payment to a closed account, which requires a recovery process through your bank.
STEP 6
Before closing, download full transaction history and statements for your records — at minimum the last 12 months, ideally 24. Cancel or confirm that all automatic ACH debits have been redirected away from the old account. Transfer any remaining balance to Lemma. Then contact your old bank to formally close the account and request written confirmation of closure. From this point forward, enjoy fee-free banking built for healthcare.
WEEK 1
Open Lemma account. Log into each insurance payer portal and update your ACH routing and account number.
WEEK 2
Update payroll provider (ADP, Gusto, etc.) and recurring vendor ACH debits. Update your clearinghouse or EHR banking records.
WEEK 3
Monitor both accounts. Confirm insurance deposits are arriving in Lemma. Note any payers still hitting the old account.
WEEK 4
Confirm full migration across two billing cycles. Close old account when no deposits have hit it for 2+ weeks.
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