Good Morning Everyone!
Today I am going to disclose to you how I move my money around and why I choose to bounce money between accounts including which banks I favor and why. If you know of any better deals, feel free to let me know. I love a good deal!
I have 3 main banks I use, all for very different reasons. The total number I have of accounts is 5. For some people, this would seem more stressful but for me, this has made life so much easier for budgeting and keeping track of my savings.
My paycheck is deposited into the first Chase account. Now to be fair, I would really really like to fix this. It is actually currently deposited into a Chase paycard account. I try not to use that card very often because it is very easy to get an accidental fee from it and they hit you HARD with fees.
I transfer that money (in person) to my Chase Debit card. Easy to manage. It’s one trip to the bank and about 15 mins while the manager approves a cash withdraw of my entire paycheck. (If I can ever get my employer paperwork filled out the exact right way, I can eliminate this step and these two accounts in favor of Capitol One accounts.)
That Chase DEBIT card is used to pay off Discover, withdraw cash, and pay for my internet. I sometimes use it to buy breakfast after the gym. Very little fees as long as I use it five times a month. (I would love to move away from this card but my work is having a hard time figuring out how to auto deposit to my Capitol One account.)
My Discover It card is always activated on the 5% cash back for whatever is cool this quarter. (Online shopping through December) and I get a 1% cash back on everything else. I like money back over no money back so I use this card for almost all of my daily purchases right now. Twice a month, when I balance my books, I pay off my Discover card. No late fees for me!
Capital One is my newest set of accounts. I signed up for a card account there with a reference from BFS after we sat down and did my budget. She turned me on to their savings accounts because they have all the sub accounts you can dump money into for no added fees. This makes budgeting more fun because you can actually watch specific piles of money grow to allow dreams to come true! That being said, I actually signed up with their checking account first so I could get a free $50.. So far, I have no regrets. My savings go from my Chase card to my Capital One check card and then get funneled into the correct accounts online.
When I first started using more than two accounts I was worried budgeting would become massively harder. Instead what I have found is that even though I move money between so many accounts, budgeting means that it is not hard to keep up with how much money I have in total and which parts to spend from where.
(I actually just applied for a Chase Freedom card and was approved so I can now also use their 5% cash back when it makes more sense. Oh, and I get $100 just for using it the first few months. Silliness)
Do any of you have credit cards? I would like to see some input on rewards cards that use point systems. I haven’t decided how I truly feel about that yet. At the moment, I am steering clear since I don’t know that I will need the points but in the long run, travel points might be worth it.
Chase those dreams folks!