Disadvantage/Implications on having multiple bank accounts

[Dhruvit.S]

I hold 4 bank accounts and was intrested in Kotak 811 for Kotak Bank credit cards offer. I know it's not a clever idea however I wanted to know if there's other actual issue in holding too many bank accounts.

Would like to hear from the community.

P.S: I say intrested but I won't unless I get a very good reason other then Kotak White credit card to open 811 account.

You can mention reasons to open the account too.

 

[TheTrickySid]

I hold 4 bank accounts and was intrested in Kotak 811 for Kotak Bank credit cards offer. I know it's not a clever idea however I wanted to know if there's other actual issue in holding too many bank accounts.

Would like to hear from the community.

P.S: I say intrested but I won't unless I get a very good reason other then Kotak White credit card to open 811 account.

You can mention reasons to open the account too.

Why do you think having multiple bank isn't good?

 

[Dhruvit.S]

Why do you think having multiple bank isn't good?

I ment more than 4. It's pointless, hassle in managing, etc

 

[TheTrickySid]

I ment more than 4. It's pointless, hassle in managing, etc

Ohh
BTW I have 10 accounts 🙂

 

[jyotimanb]

I ment more than 4. It's pointless, hassle in managing, etc

Kotak 811 would be a zero balance account. I don't think you would face hassle in managing these accounts.

Btw FYI, I just hold 5 savings accounts with HDFC. In total there are around 17-18 accounts. None of them are with any PSU banks except one BoB zero balance account.

 

[tuhin]

Apart from DC Charge (if you have) & SMS Alert Charge, there is no harm

 

[Arcade]

I hold 4 bank accounts and was intrested in Kotak 811 for Kotak Bank credit cards offer. I know it's not a clever idea however I wanted to know if there's other actual issue in holding too many bank accounts.

Would like to hear from the community.

P.S: I say intrested but I won't unless I get a very good reason other then Kotak White credit card to open 811 account.

You can mention reasons to open the account too.

There are no major issues except keeping track of balances, and the charges. 5 accounts wouldn't be too many. I hold 10+ accounts and it does become a hassle after a point because of the constant changes banks make to their fees & charges.

Though, I do recommend the kotak account since they easily give pre-approved offers and there are no charges as such.

 

[Digvijay]

I hold 4 bank accounts and was intrested in Kotak 811 for Kotak Bank credit cards offer. I know it's not a clever idea however I wanted to know if there's other actual issue in holding too many bank accounts.

Would like to hear from the community.

P.S: I say intrested but I won't unless I get a very good reason other then Kotak White credit card to open 811 account.

You can mention reasons to open the account too.

There is nothing wrong with having multiple options may it be bank account or credit card, as long as you are able to keep them active. Only opening accounts or collecting credit cards, won't be beneficial unless they are used purposely to get things done. Also any account if not used or kept dormant will be closed by bank. And as per new RBI rules, same is gonna happen with unused credit cards. So instead of adding numbers to account or cards, just use existing ones wisely!

 

[jyotimanb]

There are no major issues except keeping track of balances, and the charges. 5 accounts wouldn't be too many. I hold 10+ accounts and it does become a hassle after a point because of the constant changes banks make to their fees & charges.

Though, I do recommend the kotak account since they easily give pre-approved offers and there are no charges as such.

I don't have any charge for Debit Card / SMS for any of my accounts except Axis (don't hold an HNI account with them).

Having multiple accounts with Same bank helps you to keep track of all the balances in one place.

If you are holding multiple accounts, my suggestion would be to use them for different purposes.
Like one account can be used to store Emergency Fund which you should not touch at all, one for daily expenses, one for your Investment needs, one to store funds spent with your CC for bill payment. Totally upto you.

 

[Arcade]

I don't have any charge for Debit Card / SMS for any of my accounts except Axis (don't hold an HNI account with them).

Having multiple accounts with Same bank helps you to keep track of all the balances in one place.

If you are holding multiple accounts, my suggestion would be to use them for different purposes.
Like one account can be used to store Emergency Fund which you should not touch at all, one for daily expenses, one for your Investment needs, one to store funds spent with your CC for bill payment. Totally upto you.

Majority of my accounts don't have charges, and even if they do the offers/cashbacks outweigh them. I majorly use UPI for places where a credit card doesn't make sense or simply doesn't work and that's where the multiple accounts with same banks creates a problem as you'll have to remember the last 4 digits.

Yes, I have accounts for specific purposes like you've mentioned but after a while with hectic schedules, and in general just life, it feels more like a hassle and you just long for the simplicity and peace of mind of dealing with fewer accounts. But then again, it varies person to person.

 

[Dhruvit.S]

Ohh
BTW I have 10 accounts 🙂

Kotak 811 would be a zero balance account. I don't think you would face hassle in managing these accounts.

Btw FYI, I just hold 5 savings accounts with HDFC. In total there are around 17-18 accounts. None of them are with any PSU banks except one BoB zero balance account.

There are no major issues except keeping track of balances, and the charges. 5 accounts wouldn't be too many. I hold 10+ accounts and it does become a hassle after a point because of the constant changes banks make to their fees & charges.

Though, I do recommend the kotak account since they easily give pre-approved offers and there are no charges as such.

So many of yall have 5+ accounts, and got many good answers so I am thinking of opening kotak 811.

However one more thing y'all must have so much funds to move around right? Minimum 10L+?

 

[jyotimanb]

So many of yall have 5+ accounts, and got many good answers so I am thinking of opening kotak 811.

However one more thing y'all must have so much funds to move around right? Minimum 10L+?

Tip: You need a large fund to open an HNI account (which doesn't likely attract any charges) as initial deposit! But you don't need to maintain the large fund to continue enjoying the benefits! 😉

 

[tuhin]

I don't have any charge for Debit Card / SMS for any of my accounts except Axis (don't hold an HNI account with them).

Having multiple accounts with Same bank helps you to keep track of all the balances in one place.

If you are holding multiple accounts, my suggestion would be to use them for different purposes.
Like one account can be used to store Emergency Fund which you should not touch at all, one for daily expenses, one for your Investment needs, one to store funds spent with your CC for bill payment. Totally upto you.

What are the accounts do you have? If possible, can you please give us a list... pretty interesting, no DC/SMS charges!!!

 

[Dhruvit.S]

Tip: You need a large fund to open an HNI account (which doesn't likely attract any charges) as initial deposit! But you don't need to maintain the large fund to continue enjoying the benefits! 😉

I don't mean HNI accounts or initial high funding.
I ment atleast you must have 10L+ stored in these banks to make sense of so many accounts

 

[rjsudeep]

I hold 4 bank accounts and was intrested in Kotak 811 for Kotak Bank credit cards offer. I know it's not a clever idea however I wanted to know if there's other actual issue in holding too many bank accounts.

Would like to hear from the community.

P.S: I say intrested but I won't unless I get a very good reason other then Kotak White credit card to open 811 account.

You can mention reasons to open the account too.

Multiple banks are never an issue, unless you forget where you parked your cash at a point!

Having multiple bank accounts is good when you need to transact many times at an ATM and suddenly some card gives up on you. Also, certain times they are bank-specific debit card offers.

As for me, I have the following bank accounts:

- HDFC Classic Salary
- Niyo Equitas
- DBS Digibank
- Union Bank
- Fi (Federal)
- Jupiter (Federal)

Might soon be opening a Kotak zero balance one as well.

 

[rjsudeep]

Tip: You need a large fund to open an HNI account (which doesn't likely attract any charges) as initial deposit! But you don't need to maintain the large fund to continue enjoying the benefits! 😉

But that isn't always the case right. Banks can always downgrade you if they see you constantly not maintaining proper funds.

 

[Arcade]

So many of yall have 5+ accounts, and got many good answers so I am thinking of opening kotak 811.

However one more thing y'all must have so much funds to move around right? Minimum 10L+?

Not necessarily, like in my case majority of the accounts I have are zero balance accounts which I opened to get pre-approved offers as I'm not 21 yet (and already have a bad habit of collecting cards). It's also much easier to open accounts while getting them closed is a rather tedious process, learnt that the hard way.

 

[rjsudeep]

Not necessarily, like in my case majority of the accounts I have are zero balance accounts which I opened to get pre-approved offers as I'm not 21 yet (and already have a bad habit of collecting cards). It's also much easier to open accounts while getting them closed is a rather tedious process, learnt that the hard way.

Collecting cards is not a bad habit, spending without caution is!

 

[Dhruvit.S]

Not necessarily, like in my case majority of the accounts I have are zero balance accounts which I opened to get pre-approved offers as I'm not 21 yet (and already have a bad habit of collecting cards). It's also much easier to open accounts while getting them closed is a rather tedious process, learnt that the hard way.

Which account closure was tedious for you? I have closed RBL account once it was fine

 

[Dhruvit.S]

Multiple banks are never an issue, unless you forget where you parked your cash at a point!

Having multiple bank accounts is good when you need to transact many times at an ATM and suddenly some card gives up on you. Also, certain times they are bank-specific debit card offers.

As for me, I have the following bank accounts:

- HDFC Classic Salary
- Niyo Equitas
- DBS Digibank
- Union Bank
- Fi (Federal)
- Jupiter (Federal)

Might soon be opening a Kotak zero balance one as well.

You have most Neo accounts. Are they beneficial? Also previously one couldn't open FI and Jupiter account both. Looks like it's fixed