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Why You Should Have More Than One Savings Account

Wednesday, November 29, 2017
bank, blur, business

Ever heard the old saying never put all your eggs in one basket? Well, the same rules apply when it comes to your savings. I am such a huge proponent of having more than one savings account with more than one bank. Some may find it to be a bit excessive, but I think it helps to keep the money you save organized.

Think about it. If you solely had one account for your savings that would mean you only had one source to pull from. The way life is set up nowadays, you need a back up plan.

So here's why you should consider having more than one:


You Have Multiple Financial Goals
My husband and I have multiple financial goals. Not only do we save for an emergency fund, but we're also saving for our son. We're saving for vacation time. We're saving for things we want personally. Having it all stored into one account can become a bit crazy. The same goals we have for our emergency funds are not the same as for our vacation time. Therefore, we like to keep them separated and we're able to see just how much we have in case we do decide to take a trip.

Different Banks Offer Different Perks
Most banks offer great benefits just for banking with them. However, I've found that credit unions offer the best incentives for being a loyal customer. Not all credit unions offer the same benefits. But I've personally used one because you earn a dividend for each month, and another because they offer a cash back reward for shopping with one of their sponsors. Why not receive great benefits from more than one place?

This Bank May Not Work
I'd hate to think this way, but what would you do if tomorrow your bank just decided to go out of business and you have no access to extra funds? OK, maybe I'm doing the most with that. But seriously, what would you do? Even if my savings is designed to be for multiple goals, I like knowing that I got extra if I need it.

Theft Is Real
It's a sad reality, but true. Another major reason for why it could benefit to have multiple accounts with different banks is because of security reasons. We are living in a time where people do a ton of online shopping (I am guilty of this). Scammers are finding ways to hack into your account and take everything you have. Well, by having more than one institution it can make that a bit harder for the.

You Have Too Much Money
I think eventually it'll get to a point where once you reach a limit it's time to open a new account. Some banks have restrictions on how much you can have stored into an account. In this case, you would need a second account for the excess.

8 comments on "Why You Should Have More Than One Savings Account"
  1. these are great points! I have 2 other bank accounts myself plus my paypal lol. I like to spread my money out for emergencies

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  2. This is such great info! I had never thought about using multiple banks!

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    Replies
    1. There really are some benefits using multiple banks.

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  3. I want to one day have so much money that I'm forced to have a second bank account :-P!

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    Replies
    1. LOL It definitely takes time to get there. But once you get there, it truly helps.

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  4. These are such great tips! So important to spread your money around
    xo
    jen
    effortlesseverydaystyle.com

    ReplyDelete