Many banks offer attractive schemes for opening a savings account, and the services and facilities offered may vary, prompting some to open multiple accounts. While it may sound nice to have more than one bank account, there are a few things you should keep in mind.
1. Minimum Balance:
It is to be noted that there is a requirement to maintain a minimum balance in the account. Banks decide on this minimum balance taking into account the cost of servicing and maintaining the account, and may also levy specific charges for not maintaining the minimum balance.
Now, while it is convenient to have a minimum balance in one or two savings accounts, doing so with more than one account can become a challenge.
2. Withdrawal Limit:
Debit cards linked to some savings accounts have a daily withdrawal limit. In this case it can be helpful to have more than one account. You can withdraw large amounts from different accounts.
Yes, there is no limit on the number of savings accounts you can have. But, if the bank does not find any activity in your account for some time, it can be marked as inactive.
In addition, keeping the account inactive may also incur various charges, which will eventually lead to lower bank balance.
3. Bank Charges:
Banks offer many services for free, but there are some that come with a fee. As a customer, you must be aware of the different fees and charges of banks.
Often, customers are not even aware of many charges. You should collect all the information you need when opening an account or purchasing their products.