What do you think of an all in one account?

posted 3 years ago in Money
  • poll: I
    Do something like this already : (8 votes)
    10 %
    Would consider it : (4 votes)
    5 %
    Would consider it, but would still want a separate savings or chequing account : (14 votes)
    17 %
    Wouldn't do something like this : (39 votes)
    48 %
    Have no debt, but would consider it if I did : (2 votes)
    2 %
    Have no debt, and wouldn't consider this : (13 votes)
    16 %
    Other : (2 votes)
    2 %
  • Post # 3
    Member
    1549 posts
    Bumble bee
    • Wedding: June 2013

    So they take all my money and i’m constantly going into further debt basically…. That sounds like the worst idea in the world.

    You want to pay little interest on debt – then pay off the debt and stop borrowing. Sorry that sounds like a scam.

    Post # 4
    Member
    5697 posts
    Bee Keeper
    • Wedding: August 2012

    I think that it’s a great idea to combine debt into one low interest account to focus on paying down, but I think that having my checking lumped in with it would drive me crazy and make it impossible for me to budget or track what I’m spending.

    This is the first time I’ve heard of this though so I know nothing about it, it just sounds crazy confusing.

    Post # 5
    Member
    975 posts
    Busy bee
    • Wedding: September 2014 - Banff, Alberta

    @AB Bride:  Our plan was for him to buy the engagement ring after we were finished paying all debt. So we kept them separate until after the engagement otherwise I would see the purchase. We now have a joint account, no debt, separate credit cards, opened rsp’s and tfsa each. So much more convenient having it all in one place. 

    Post # 9
    Member
    2878 posts
    Sugar bee

    @AB Bride:  I’m a visual person, and I struggle with maths/calculating in general. When my bank told me they could create multiple saving accounts for me so I can put money into each, knowing exactly how much I have and for what purpose it’ll be used, it really relieved me. I’ve been using this system ever since ; there are no fees except when I take money out my account, but they’re minimal. So I have one for tuitions fees, one for my wedding, one for the house, one I share with FI for common expenses (rent, groceries, cable, etc.), one for car expenses, one for debt payment, one for personal expenses, etc. 

     

    Putting all into one account would probably be a disaster in my case. 

     

    ETA: I have a student loan with my bank that works the way you describe : it adds up in the negative. I’ve put my car loan in it. Why ? Because my student loan credit line is 4,5% interest, and my car was 10%. It would have cost me 2K more than I actually paid, just because of interests fees ! So I combined all in 1 that has a lower interest rate, and I’m actually paying more capital each month because the interest is lower. My debt is getting paid faster. I’ll probably get rid of the car payment 18 months before what was planned.

    Post # 10
    Member
    3344 posts
    Sugar bee
    • Wedding: April 2013 - Rhode Island

    I don’t understand what you’re describing.  Are you saying it shows your net worth?  I hope your net worth isn’t negative!  Yikes!  Anyway, I can’t really comment because I just don’t understand it.

    ETA: So, you no longer have any liquidity??!  This sounds like the worst idea on the planet.

    Post # 14
    Member
    11772 posts
    Sugar Beekeeper
    • Wedding: May 2013

    My DH’s financial software dows this!

    It doesn’t actually combine the accounts, but it shows net worth, what ALL your assets are, and what ALL your liabilities are–then it recommends a (customizable) budget!

    He’s OBSESSED with it–he checks it every day or every other day, and has since he first got it way before he ever met me!

    Post # 15
    Member
    2878 posts
    Sugar bee

    @AB Bride:  Eereek, no ! Honestly that’s what I did all throughout my bachelor degree (having everything in one account = my student loan credit line that I talked about) and it SUCKS to have 0 money left after each paycheck because the credit line/account just eats it up entirely. Plus, I’m not sure this is going to be good on your credit score in the long run to be always in the negative. I would not do that, even though I know interests for savings are worthless and it’s frustrating, but I don’t think the option there is good at all. 

    Post # 16
    Member
    1549 posts
    Bumble bee
    • Wedding: June 2013

    @AB Bride:  Or you could just not keep thousands in a checking account and actually budget your money instead of just swiping and wondering where it went.

    This sounds like its for people who are too lazy to actually have a budget or do the math to realize how much your getting ripped off. If your goal is to get out of Debt then this definitely isn’t for you.

    How does it figure out the interest rate?…. I have a 4% mortgage and an 18% credit card ..does it take the average interest rate and use that on everything…. so my 18% interest on 2k and 4% on 130k turns into 10% on 200k? A few grand is not going to make a difference if my mortgage interest rate goes up.

    I highly doubt this is actually saving you any money.

     

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