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In this article we’re going to cover how many savings accounts you can have.
On paper it seems like a good idea to have multiple accounts, especially ones with higher rates. However, it’s usually a waste of time to be chasing the next highest savings percent rate.
Multiple Savings Accounts
There’s no limit to how many savings accounts you can have open. Typically, banks will allow you to open as many savings accounts as you want to.
I can’t think of a reason why you would need more than one savings account.
Do me a favor: If your bank account offers one rate and another bank starts offering a slightly higher rate, don’t change accounts. Half the time, those rates are simply introductory teaser rates that will drop after six months.
I’d rather take a slightly lower interest rate if it’s at a bank I can trust to give me great service over the long term.
But there are a lot of dorks who spend every waking hour online digging up the best interest rate and switching to it immediately.
“OMG!!!!” they say. “Ally Bank increased its rate from 2.25 percent to 2.75 percent!! Now it’s 0.02 percent higher than Capital One 360! I’m going to switch accounts right now!!!” If you do this, you are a moron.
Do you really want to spend each month figuring out which bank is offering a slightly better rate? That’s a colossal waste of time for most of us, since a 0.5 percent difference equals just a few dollars per month more in interest.
Plus, interest rates change over time, so rate chasing doesn’t even make sense. I plan on sticking with my bank for the next few decades, and I’m sure you have better things to do with your time. So focus on the Big Wins, not on rate jumping.
The Best Savings Accounts (Including the Ones I Use)
As we’ve seen, a lot goes into finding the right accounts. Here are a few options that I’ve found work well for many people—along with my own personal picks.
The Best…
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