Most people have one checking account, but what stops you from getting a second checking account? There’s no rule stating how many bank accounts you can have. If you have the money to put in a bank account, why not have a couple of checking accounts?

You may think having a checking and savings account is not a good idea, and it may be for some, but there are benefits of having a second checking account.

Here are the top benefits of having multiple checking accounts.

Benefits of a Second Checking Account

• You have a ‘backup’ account – If something happens with your primary checking account and it’s inaccessible (technical issues or suspicion of fraud), you still have access to liquid funds. When your account is frozen, it’s hard to pay bills or pay for groceries, so having a backup provides peace of mind.

• You need access to another ATM network – If you travel outside of your bank’s ATM network but use the ATM, you pay extra. If you have a second checking account in another network, you may avoid the fees.

• You can have a ‘fun’ checking account – If you have a hard time budgeting for ‘fun’ spending, consider opening another checking account. You can deposit ‘extra’ funds in the account and always know how much you have to spend outside of your money for regular expenses.

• You can separate your emergency fund – Keeping your emergency funds in your spend account isn’t a good idea. It’s easy to use the funds and not realize it until after the fact. A separate checking account keeps the funds separate so you don’t spend them unless it’s an emergency.

Where Should you Open a Second Checking Account?

If you decide to open a second checking account, your next question is where? Should you open it at your primary bank or elsewhere?

Again, there’s no rule regarding how you handle the situation. You can have multiple checking accounts at one bank or try a new bank. Here are a few reasons to try a new bank:

• The new bank has more features or products you’ll use. When you create a banking relationship you may get better rates or have more products available to you by opening a checking account.

• You worry about your primary checking account becoming inaccessible. It can happen, and it’s usually at the worst time. Having an account at a separate bank can alleviate the stress.

• You need a larger ATM network. If you constantly use ATMs and worry about paying fees, opening a checking account at another bank gives you more opportunity to withdraw funds without a penalty.

Bottom Line

Opening a second checking account can be beneficial. Watch out for the fees and/or account minimum requirements. Know the ATM network and make sure the account has benefits you’ll use, especially if you open an account at a new bank. Another checking account can be real peace of mind when you choose the right bank and product.

Looking to learn more about checking accounts? Then you’ll want to learn more from Find a Better Bank. We help connect people with the bank that is right for them. On the site, you can search for your next bank by region, bank size or by your residential zip code. Stop by and find the checking account that’s best for you!