@FinStar wrote:
@CYBERSAM wrote:
@FireMedic1 wrote:
@CYBERSAM wrote:I have many Checking/Saving accounts! Never had any issues or had negative impact from having them.
As long as you are not paying any fees to keep them active than you should have no issues from multiple Checking/Saving accounts!
Your a drop in the bucket. One person out of millions. Just because you didnt have any problems doesnt mean no one else could. One person may get a GW deletion from Cap1 for 1 late payment. Doesnt mean the hundreds on here were all successful. And the hundreds that get a successful deletion that never become a member here. We wont know who they are. Congrats.
If you're moving large amount of money then sure! Transferring in international level then sure! But I'll challenge anyone to come forward for being confronted by government for simply having few checking accounts.
There have been instances where this happens @CYBERSAM, but it's more specific to high-profile individuals, persons of interest, and/or entities. It's not the number of deposit accounts per se, it's the activity that can get flagged by participating institutions.
An item to keep in mind is that ChexSystems is one of several reporting agencies that track this data. EWS is another, which most people tend to forget.
But, to @Anonymous's question, having 3, 5, 10, 20+ deposit accounts (in any flavors) will not impact FICO credit scores. But, lenders have access to things like CoreLogic, for instance (or other data analytics resources), that could impact a lending decision.
OK Thank you. So people like me are not "One person out of millions" in fact is the other way around! Some high-profile individuals may get flagged for reasons that have been explained already! Just want to clarify that having multiple checking accounts in US is NOT illegal.
@CYBERSAM wrote:
@FinStar wrote:
@CYBERSAM wrote:
@FireMedic1 wrote:
@CYBERSAM wrote:I have many Checking/Saving accounts! Never had any issues or had negative impact from having them.
As long as you are not paying any fees to keep them active than you should have no issues from multiple Checking/Saving accounts!
Your a drop in the bucket. One person out of millions. Just because you didnt have any problems doesnt mean no one else could. One person may get a GW deletion from Cap1 for 1 late payment. Doesnt mean the hundreds on here were all successful. And the hundreds that get a successful deletion that never become a member here. We wont know who they are. Congrats.
If you're moving large amount of money then sure! Transferring in international level then sure! But I'll challenge anyone to come forward for being confronted by government for simply having few checking accounts.
There have been instances where this happens @CYBERSAM, but it's more specific to high-profile individuals, persons of interest, and/or entities. It's not the number of deposit accounts per se, it's the activity that can get flagged by participating institutions.
An item to keep in mind is that ChexSystems is one of several reporting agencies that track this data. EWS is another, which most people tend to forget.
But, to @Anonymous's question, having 3, 5, 10, 20+ deposit accounts (in any flavors) will not impact FICO credit scores. But, lenders have access to things like CoreLogic, for instance (or other data analytics resources), that could impact a lending decision.
OK Thank you. So people like me are not "One person out of millions" in fact is the other way around! Some high-profile individuals may get flagged for reasons that have been explained already! Just want to clarify that having multiple checking accounts in US is NOT illegal.
I bet in the last 3 years I have opened 15+ checking accounts for promotional offers and never had an issue. I can't speak for everyone but I can say I've never had anyone but my boss say anything to me bc I was constantly changing my direct deposit info.
I opened the account, complete required activities to receive the bonus and then make sure I keep the account open long enough so the bank doesn't ask for the bonus back and then close the account.
Chase -- My main bank
NFCU -- Favorite bank/CU
PNC
Fifth Third
Citibank
BofA
Wells Fargo
Regions
US Bank
Alliant
Discover Debit
Cap One
BB&T / Truist
SoFi
PenFed
Huntington
HSBC
BBVA
BMO Harris
SunTrust
I've had an account with every single one of those banks at one point or another.
@CYBERSAM wrote:
@FinStar wrote:
@CYBERSAM wrote:
@FireMedic1 wrote:
@CYBERSAM wrote:I have many Checking/Saving accounts! Never had any issues or had negative impact from having them.
As long as you are not paying any fees to keep them active than you should have no issues from multiple Checking/Saving accounts!
Your a drop in the bucket. One person out of millions. Just because you didnt have any problems doesnt mean no one else could. One person may get a GW deletion from Cap1 for 1 late payment. Doesnt mean the hundreds on here were all successful. And the hundreds that get a successful deletion that never become a member here. We wont know who they are. Congrats.
If you're moving large amount of money then sure! Transferring in international level then sure! But I'll challenge anyone to come forward for being confronted by government for simply having few checking accounts.
There have been instances where this happens @CYBERSAM, but it's more specific to high-profile individuals, persons of interest, and/or entities. It's not the number of deposit accounts per se, it's the activity that can get flagged by participating institutions.
An item to keep in mind is that ChexSystems is one of several reporting agencies that track this data. EWS is another, which most people tend to forget.
But, to @Anonymous's question, having 3, 5, 10, 20+ deposit accounts (in any flavors) will not impact FICO credit scores. But, lenders have access to things like CoreLogic, for instance (or other data analytics resources), that could impact a lending decision.
OK Thank you. So people like me are not "One person out of millions" in fact is the other way around! Some high-profile individuals may get flagged for reasons that have been explained already! Just want to clarify that having multiple checking accounts in US is NOT illegal.
No one ever said it was illegal. We were just saying there's a small possibility of getting scrutinized for multiple accounts/large sums of money going through it.
@Anonymous Having the accounts regardless of their daily balance will NOT harm or change your FICO score unless you apply with a credit union that requires a hard pull to join and open their deposit account. That's about the only scenario I can think of. Someone can correct me if im wrong but generally banks don't even report negative account information to personal credit reports (TU, EX, EQ) when closed because of habitual overdrafts. They usually report to ChexSystems and Early Warning Systems exclusively. My mother was until recently a habitual overdrafter and I see her credit report consistently as I try to help her better manage her money and I've never had a checking account that was closed with a negative balance show on her credit reports.
@dragontears made an excellent point that is probably the most important thing said throughout this entire thread. Triple check that you're selecting the correct bank when you pay bills and credit cards.
Edit: Read the fine print of any promotional offer you received. Generally it will say the account needs to stay open for so long or they can request the money back. If it has no such language (and some don't) close the account when you're done with it or when it starts costing you $ to keep it open.
@Anonymous wrote:Many good comments. Thanks. I am not moving large sums of money; four of my five checking accounts in fact have a low balance; and all my transactions are in the U.S. Four of my accounts derive from managing an estate of which I am the executor, but one comes from an promotional offer of the type, as noted: "open a new account, and we'll give you $300 after X-number of months." I would not want to pursue every promo of this type, but I gather that, without harm, especially after closing the first these accounts, I could apply for 1-2 more promotional offers, if so inclined. Correct? However, what about the low balance in four of the five accounts that I currently have--the fifth account has about $15,000. All of my accounts are in good standing and had no overdrafts. But do the low balances affect my FICO score, or would it otherwise be wise to close at least two of the four accounts in terms of improving my profile for a loan or credit line increase?
Again, checking and savings accounts have absolutely NO bearing whatsoever on your FICO score, nor would they influence an app for a loan/CLI.
@dragontears wrote:
@OmarGB9 wrote:
@CYBERSAM wrote:OK Thank you. So people like me are not "One person out of millions" in fact is the other way around! Some high-profile individuals may get flagged for reasons that have been explained already! Just want to clarify that having multiple checking accounts in US is NOT illegal.
No one ever said it was illegal. We were just saying there's a small possibility of getting scrutinized for multiple accounts/large sums of money going through it.
Moving large sums of money always draws scrutiny no matter how many bank accounts you have.
I can't find my tinfoil hat so I have to go with "having multiple bank accounts is fine" camp. The biggest risk I see from having many bank accounts is getting a returned payment because you used the wrong bank account (is a real risk, I can't count the number of post that complain about not getting a CLI or getting AA because of a returned payment due to forgetting to change the bank account)
Hmmm, it appears someone else had borrowed it 🤷♂️ I wouldn't leave it laying around, tho.
@Anonymous - as already echoed upthread, FICO scores (any model or version), are not impacted by deposit account activity or the number of deposit accounts you hold.
@FinStar wrote:But, to @Anonymous's question, having 3, 5, 10, 20+ deposit accounts (in any flavors) will not impact FICO credit scores. But, lenders have access to things like CoreLogic, for instance (or other data analytics resources), that could impact a lending decision.As @MadGeorge indicated in OP that their concern is not just with FICO scoring, but with overall lending decisions, perhaps you could elaborate on "internal" FI scoring, based on customized data packaging provided by CR's at lender request? As Synchrony and GS are using this more now, I think it's a trend we're going to see more lenders move to. With the BNPL market booming, lenders want to know about what might be hiding, so to speak. It's going to be visible on Core logics/Chex Systems data, which is also going to have all those bank accounts and whatnot.
ETA:. Also could you maybe explain how "some" FI's do consider relationship in regard to their internal scoring/lending decisions, which might take into consideration the amount of deposits/investments held by applicant, but that a different FI is not going to base lending decisions on applicant's deposit activity elsewhere, as they have no access to that information???
(Noting that multiple deposit accounts opened recently in and of themselves "could" be considered negative to lenders).
Sorry...tried to fix format but failed 🙄
