As you already know, a Savings Account is a great way to safely store your money and spend it whenever needed. But you don’t have to limit to one account as multiple Savings Accounts can enrich the way you manage your finances.
Here’s why you should open more than one Savings Account:
- Setting up different accounts helps you keep track of your goals efficiently
- Automated transfer of money from your primary account to other Saving Accounts reduces the chance of spending it impulsively
- It helps you build momentum for your financial goals, monitor progress and hold yourself accountable while saving for the future
- Debit Cards linked to some Savings Accounts have a per-day limit on fund withdrawal. So, having multiple accounts comes in handy when in urgent need of cash.
Here’s how you can allocate your money across different Savings Accounts:
Main account:You should have one main account which will act as your primary account for major monthly expenditure. This account can be linked to all your EMI payments, rent, mutual fund investments, monthly shopping and other automated bill payments.
Salary account:You should have a separate account to receive your monthly salary. This can also be a temporary account which you can consider closing when you change your job. You can regularly transfer a certain amount from this account to your main account to meet investments and expenses.
Joint account:Having a joint account between spouses formulates comprehensive knowledge about financial assets. You can use this account as an avenue for 3-6 months’ worth of contingency funds. The nominee of such an account can be your children.
While there’s no limit to how many Savings Accounts you can have, there are a few things to consider before signing up for more than one. According to financial experts, it isn’t advisable to open more than three Savings Accounts, as it can be difficult to manage. Apart from having a minimum balance in each account, banks might also mark an account dormant if there is no activity for a period of time. Additionally, banks levy various charges on these accounts, and if you’re keeping them idle, the balance will decrease unnecessarily.
The money in each account depends on your comfort level. While it should be sufficient enough to have a good night sleep, it shouldn’t tempt you to splurge. It isn’t uncommon for bank balances to stagger just before your salary arrives, making it essential to have a decent balance to fund an emergency or unexpected expense.
The good thing about having many accounts in that you can prioritise your goals and save sincerely. At HDFC Bank, there is a Savings Account for all your needs.
While there’s no limit to how manySavings Accountyou can have, there are a few things to consider before signing up for more than one.
To keep up with the current times, HDFC Bank has extended an instant Savings Account facility via InstaAccount, ensuring a completely paperless account opening process. All you need is a few minutes to enter your details and upload your documents. Click here to open a newSavings Accountdigitally.
Want to know more about opening a contactless Savings Account? Click here to get started.
Click here to open a Savings Account.
*Terms and conditions apply. The information provided in this article is generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circ*mstances.
FAQs
Yes, you can have multiple checking accounts at the same bank. If you opt for more than one checking account, having them at the same bank can help simplify your finances. You can likely link your accounts and see everything in one place when you log in online.
Can I open 2 bank accounts with the same bank? ›
You might be wondering if you can have two checking accounts with the same bank. Sometimes, this kind of arrangement can suit a person's specific needs (more on that in a minute). The good news is, yes, it is possible to have more than one checking account.
Can I open a second bank account online? ›
Yes, you can apply for more than one account on the same day. At the end of an online application you will be given the option to apply for more products. For example, you may wish to apply for a savings account to run alongside your current account.
Is it illegal to have two bank accounts with different banks? ›
There's no limit on the number of checking accounts you can open, whether you have them at traditional banks, credit unions or online banks. There is, however, a limit on how much of the money you keep in your checking account is FDIC insured.
Can I open two current accounts with the same bank? ›
Depending on the bank in question and the type of accounts, you can open more than one current account with the same bank. For example, you'll often find you can open both a personal and joint account with many banks, including The Co-operative Bank.
Is it smart to have two bank accounts? ›
Having multiple bank accounts often allows you to perform tasks unavailable with other accounts. It also opens access to additional banking benefits, such as separating your savings by goal or purpose, earning interest, or automatic savings and budgeting features.
Which online bank is the best? ›
Keeping these aspects in mind, we've shared a list of the best digital banks in UK below:
- Monzo. Types of Accounts: Monzo, Monzo Plus, Monzo Premium. ...
- Monese. Types of Accounts: Simple Account, Classic Account, Premium Account. ...
- Revolut. ...
- Kroo. ...
- Zopa. ...
- Anna. ...
- Virgin Money. ...
- Starling Bank.
Financial institutions must file a Currency Transaction Report (CTR) for any transaction over $10,000. The CTR includes information about the person initiating the transaction, the recipient, and the nature of the transaction. The purpose of this requirement is to prevent money laundering and other criminal activity.
Does opening multiple bank accounts affect credit score? ›
Will having two or more current accounts damage my credit score? Not necessarily, no. However, having two or more current accounts won't necessarily damage your credit score, but it could have a negative impact if you start dipping into multiple overdrafts – making it look as if your finances are becoming stretched.
Is it safe to keep all your money in one bank? ›
As long as that bank is FDIC-insured and your deposit doesn't exceed $250,000, you should be safe to do so. It might be worth it to maintain an account at a separate bank, however, just in case a bank error or accidental account freeze results in a loss of access to your money for a time.
The simplest way to find out whether someone opened an account in your name is to check your credit reports. They will list all accounts associated with your name and Social Security number.
How many bank accounts can a person have? ›
There is no limit set to how many bank accounts you should have. However, it is advisable to have less than four bank accounts per person because it becomes difficult to manage money in multiple bank accounts.
Can I have two savings accounts in the same bank? ›
Having multiple savings accounts can help you keep track of various savings goals. Consider how many accounts you're comfortable managing when deciding if you should open more savings accounts. You can have multiple savings accounts with one bank or spread them across several institutions.
Can you have 2 bank accounts with different banks? ›
Some people may think that they can only have one bank account or just bank with one provider. The truth is, you can have multiple current accounts with different providers. This doesn't mean you can have endless amounts of accounts, but you can manage your finances by splitting them.
Can you join two existing bank accounts? ›
Keep the process simple if you and your spouse already have accounts at the same bank. You'll both have to show up with valid ID. Then you can close one spouse's accounts completely, transfer their money to the other spouse's accounts, and add their name. Or you can open new ones with both spouses as account holders.
Can you open another bank account if your account is closed? ›
Once a bank account is closed, it usually can't be reopened. You'll have to open a new bank account with your institution or bank somewhere else. Some banks have second chance bank accounts, which allow you to open a bank account regardless of whether you have a negative banking history.
How many bank accounts can a person have in the same bank? ›
While there's no limit to how many Savings Accounts you can have, there are a few things to consider before signing up for more than one. According to financial experts, it isn't advisable to open more than three Savings Accounts, as it can be difficult to manage.
