Suppose you already have a chequing account at a bank and want to open another one at another institution, or even one in which you are a current account holder. In that case, no restriction prevents you from doing so. In most cases, people look for this option to get more credit possibilities. Well, the idea sounds good. But is this really an effective method to organize your finances?
If you have doubt about opening another chequing account, we created this post to clarify all the advantages and disadvantages of having two chequing account option. And give tips for you to manage the accounts. (See also: 5 Top Tips For Choosing The Best Chequing Account).
Benefits of having two chequing accounts
Two chequing accounts mean double everything: two credit cards, two service packages, two cheque books, two managers, and more. That way, you will have more possibilities to get services, investments or loans that can save you at the end of the month. And, that, yes, is an advantage.
Furthermore, the option to open more than one chequing account can be considered a way of having more than one option to get rid of your debts. If you need to organize and divide your debt so that your money is not concentrated on just a few of them, this might be a good idea.
Disadvantages of having two chequing accounts
But beware: as well as the advantages and “features,” the disadvantages are also double. Thus, as well as several credit options, when you open another chequing account, you run the risk of double-paying the bank fees for the services offered by the bank to account holders. Maintaining more than one bank account can easily reach $50 a month. And that’s just the usual fees. You may also risk entering the special limit of one of them and paying even more interest.
Therefore, it is important to remember to take extra care of the two accounts. To manage the two chequing accounts, you need to think about the real need to have one more account option. Everything will be easier once you determine the usefulness of the second chequing account.
So how do you effectively handle two chequing accounts?
If you still believe that you should open another chequing account at the bank, you can take some steps to avoid problems. After defining the usefulness of your second bank account, you can opt for services that don’t weigh as much in your pocket.
One of them is adopting bank accounts such as Scotiabank Basic Bank Account that do not have so many maintenance fees or even offer free service packages. Although not as publicized by banks, there are some simple chequing account options with no limits and fewer credit offers. Simple service packages can be a good thing if you don’t intend to spend a lot on maintaining your account.
Another option is to open a salary account. This might be a good idea if you need your money to be deposited in a chequing account and still want low maintenance fees. In addition to serving as a way to deposit your money, they also offer credit products and services such as cheques and credit cards.
Opening another chequing account is a great possibility if you plan and organize your expenses. Offers of credit are alluring. It’s true. But, you need to rethink the real need to get them because the price you will pay for them can be very high.