On Thursday we looked at the benefits of opening multiple savings accounts, or sub-savings accounts, and how they can help you separate savings for specific money goals like a vacation, car, tv, or even for funding an emergency fund.
Today, I’ll show you how easy it is to 0pen multiple savings accounts by opening a “House Fund” at my bank, Ally. Someday I’d like to own my home so I’m going to start a defined savings account just for that savings goal.
The process takes less than 5 minutes so let’s check it out.
Opening the New Savings Account
– Once you’re signed in to your account, you should be at your account list. Below your accounts there’s a little blurb and a link that reads: “Add another account.” Click that link.
– It’ll feel like you’ve been logged out and they want you to open an entirely new account. If you notice in the top right though, you’re still signed in. They don’t advertise multiple accounts, but you can open them. Choose “online savings” and click “open account.”
– You’re brought to the application process.
– In Step 1 choose the “start a new application” option.
– in Step 2 choose “online savings account” and decide if you’d like to fund the account. You can do this via your original account or at a later time.
– In Step 3 choose “individual” unless you are opening the account with a spouse, then choose “joint.”
– You’ve already added an owner when you first signed up for the account, so they should have your information automatically filled in once you choose individual or joint. Below is what my screen looked like.
– Step 4 requires your electronic signature. Read the Agreements and check the box. Click “Submit Application.”
– After about 20 seconds, the new account is opened. I chose to make a $5 deposit and Step 5 asks if I want to transfer from within my other Ally accounts, make an online transfer from another bank, or make an opening deposit later. Choose whatever options suits you and click “next step.”
– Step 6 is already complete because you’re already a member and set up online banking. Click “next step.”
– Congratulations! The account is officially open and available to access.
You’re now free to do as you please. If you’d like to name the account, click “go to my accounts” and click on your new account named “online savings.” Once there, look at the right sidebar and at the bottom it reads “Edit Nickname”. At the new screen you can easily edit all of the account names as well as the external accounts (accounts you transfer to/from).
Your new savings account has its own account number and is a separate entity from your initial savings account.
You can now transfer money between the accounts instantly so if you get paid and want to send $500 to your “Emergency Fund”, $200 to your “Brazil Vacation Fund”, and $50 to your “Charity Fund” you can in 5 seconds. You can do it one-time or set automatic transfers with options for weekly, every 2 weeks, monthly, every 2 months, quarterly, every 4 months, or twice a year.
It’s a little odd that Ally doesn’t advertise the multiple savings accounts, but once you get through the awkward “am I doing this right?” stage, you’re in the clear and enjoying your new account.
Do you use Ally? What do you think so far?
