Number of accounts 30 October 2022 at 12:33PM in Savings & investments 2 replies 483 views

Grouchy

I've done a search on this and found some varying answer some from a fair while back, but just wanted to check.

I currently have accounts with 8 banks/BS.  Some are heavily funded (FSCS limit etc) and others are for specific jobs, current account, an account where odd things are paid for, and a few are a bit dormant with a holding small amount in which were once used heavily as had better savings rates then.  I'm ok with that and do my homework on rates etc.

I'm wondering if there is anything negative to having an additional 1 or 2 bank/BS setups to take advantage of current or future attractive rate increases.  I have a handful of institutions I prefer to put my money in and avoid others, so have two in mind.  I'm divesting myself of one institution completely so there will be a largish sum to find a home for soon.

I can't see a problem, but perhaps more experienced savers might give some input.

Thanks.

eskbanker

No negatives in opening more savings accounts, but if you already have plenty that are funded with the FSCS limit in mind then it's possible that you're holding too much in cash deposit form, which will be losing real-terms value to inflation.

Grouchy

eskbanker - thank you for that, and also for reminding me of the inflation issue.