Most people have a single savings and checking account with one local bank. While this is perfectly acceptable, they may miss out on some substantial benefits. According to SoFi, “there are plenty of additional financial circumstances that might make you consider opening an additional account. So “how many bank accounts can you have? There are no limits. So, it makes financial sense for one to consider all of these benefits when considering opening an additional account.
Benefit From Higher Interest Rates
Online banks are the best option when it comes to earning higher interest rates on one’s money. These banks can offer those attractive rates because they don’t have the same overhead as a brick and mortar establishment. They don’t have to maintain a building and can hire employees from various locations, which keeps payroll down. So many people aren’t ready to place all of their money in an online bank. An additional bank account allows them to keep the secure feeling that their traditional savings and checking account offer while still taking advantage of the higher interest rates online with part of their money. It is a great way to introduce oneself to a new way of banking.
Stay Organized
It is easier to keep your finances organized when you have multiple accounts. For example, if an individual has a certain amount of money set aside for vacation, more for Christmas, and even a bit earmarked for emergencies, it is much easier to keep track of everything if each category has its own account. One also needs to think about having access to that money. Access is limited when all of an individual’s accounts are in one single bank. ATMs can and will break down. This can leave you without any way of getting your hands on cash, but if you also have money in a separate bank, you can access that account instead. Choose one bank close to home and the other closer to work for convenience.
Take Advantage of New Customer Promotions
Being loyal to one establishment doesn’t always give you the best return on your funds. Instead, rewards are offered to new customers more often than the existing ones. For example, one needs to explore all of their options by searching for promo offers. This could be something as simple as a promotional interest rate on all deposits in a new account or as elaborate as a cash bonus for setting up a tax-free savings account. Don’t overlook banks willing to reduce fees on a new account, offer rewards for setting up bill payment plans, or offer incentives for specific transactions. These smaller offerings can really add up over time and allow you to enjoy the best return for your time and money.
Opening multiple accounts makes sense to receive the most benefits from one’s money. It can grow existing money as well as provide valuable perks. To ensure you gain maximum benefits from your account, check the banking terms and policies before finalizing anything.
