What is the use of multiple bank accounts?

[SanthoshSomu]

Hi Team,
Do you have multiple bank accounts?
What is the use of multiple bank accounts?
What are those and How are you using them?

 

[TaxWiser]

Hi Team,
Do you have multiple bank accounts?
What is the use of multiple bank accounts?
What are those and How are you using them?

Hey buddy

Currently I (including my family members) holds 5 PSU & 4 Private bank accounts. (3 of which have MAB of ₹2500, 5000 & 5000 rest all are Zero Balance A/Cs)

Benefits of Multiple Bank A/C:

• Multiple A/Cs in both PSU & Private Sector gives us a opportunity to negotiate regarding pricing or services mostly in case of Loans
• PSU bank are must for availing most of Govt. Schemes benefits.
• Private Banks offers better service & experience
• Provides bank specific offers without any hassle like Credit Cards approval are high for bank customer compared to non bank customer (personally faced this discrimination from Axis Bank)
• Earlier It was easy to choose best FD if you have multiple accounts thus giving safety assurance from DICGC if investment is more than 5 lakhs but from this year since I started using Stable Money app, FD from Banks aren't useful for me anymore

This are the benefits I have been using but currently thinking closing of 3 of the PSU bank A/Cs as they are not so useful since past few years.

 

[metal_heart]

Multiple Bank account help plan your finance better & segregate the purpose and reduce risk

e.g.
Bank 1 - Salary A/C & Emergency Fund - (DC online disabled, DC kept at home)
Bank 2 - Investment A/C - Transfer Monthly from Salary (DC online disabled, DC kept at home)
Bank 3 - Expense A/C - Utilities, Shopping, Fuel etc (Transfer monthly based on budget)
Bank 4 - UPI linked - For small transactions (Keep Low balance)

 

[Devine Soul]

Hey buddy

Currently I (including my family members) holds 5 PSU & 4 Private bank accounts. (3 of which have MAB of ₹2500, 5000 & 5000 rest all are Zero Balance A/Cs)

Benefits of Multiple Bank A/C:

• Multiple A/Cs in both PSU & Private Sector gives us a opportunity to negotiate regarding pricing or services mostly in case of Loans
• PSU bank are must for availing most of Govt. Schemes benefits.
• Private Banks offers better service & experience
• Provides bank specific offers without any hassle like Credit Cards approval are high for bank customer compared to non bank customer (personally faced this discrimination from Axis Bank)
• Earlier It was easy to choose best FD if you have multiple accounts thus giving safety assurance from DICGC if investment is more than 5 lakhs but from this year since I started using Stable Money app, FD from Banks aren't useful for me anymore

This are the benefits I have been using but currently thinking closing of 3 of the PSU bank A/Cs as they are not so useful since past few years.

Another benefit for having multiple accounts is that every bank provide security of amount maximum of 5 lac only . So you can diversify your capital to secure your money.

 

[SanthoshSomu]

Multiple Bank account help plan your finance better & segregate the purpose and reduce risk

e.g.
Bank 1 - Salary A/C & Emergency Fund - (DC online disabled, DC kept at home)
Bank 2 - Investment A/C - Transfer Monthly from Salary (DC online disabled, DC kept at home)
Bank 3 - Expense A/C - Utilities, Shopping, Fuel etc (Transfer monthly based on budget)
Bank 4 - UPI linked - For small transactions (Keep Low balance)

Bank 1 Emergency fund DC disabled.
How to use money in emergency?

 

[PahulGoyal]

Hi Team,
Do you have multiple bank accounts?
What is the use of multiple bank accounts?
What are those and How are you using them?

I have seen too many people suffer because of having single bank account. When doing UPI transactions at a shop, there will be times when your bank is down specially when it's govt bank. One should at least get an account in both psu and private bank so that if one is down then the other can be used for urgent UPI transactions. There are multiple options for zero balance accounts so there's no reason to not open it.