How many savings accounts can I have?

There is no limit to how many savings accounts you can have.

Why is it different than credit cards?

This is unlike credit cards because savings accounts are about you depositing money and earning interest. Credit cards on the other hand are about others lending you money (in the form of credit) so clearly there’s limits on that to mitigate credit risk for the lender. For savings accounts, banks use a system called ChexSystems.

What is ChexSystems?

80% of banks use ChexSystems, a verification service for savings/checking account applicants. One of the main uses is to flag any unpaid balance, bounced checks, or identity fraud at previous banks.

How does FICO/VantageScore differ from ChexSystems?

It’s very different. FICO/Vantage look at your amount of credit utilization, how much more debt you can take on, how much you’re paying, and more (check out our post on that) while ChexSystems is all about notifying the bank of clients that have cost other banks money in the past.

In conclusion

There are not limits to how many savings accounts you can have - and because of that Compound Wealth will help you make sure you have the right ones, earning you the most money.