having mulitple bank accounts - keep or close

[steveo3002]

as you all know savings accounts rates change often so i end up chasing a little better interest here and there , about to change again , is it best to close unused ones or leave a £1 in incase they become competitive again?

any downsides to credit scores and suchlike to have many accounts ?

[DanL]

I suspect if you have an account with one pound in it and years of inactivity, the bank will at some point close it for you… If there’s a better savings rate at a later date, couldn’t you just open a new account then? Or are you hedging against “existing customers only” sort of deals?

[superpp]

new accounts with better interest, are just that; a new account
old accounts stay on low interest rates.

[The Leaper]

I think that the banks will propose closing the accounts with small balances, maybe a year or so without any activity. I bank with Barclays and did have four accounts with them, one a USA $ denominated account, and two became inactive. After a year of inactivity Barclays gave me advance notice that the two will be closed and any balances transferred to an active account, which I agreed to.

R.

[Somebody]

Savings accounts don't really matter.

Current accounts on the other hand you should keep to help with your credit file.

[RenesisEvo]

If you need to do self assessment for tax I would keep them open until you've filed for the financial year you last used the account, as getting hold of statements and tax certificates once an account is closed is much harder than when it's still open.

[steveo3002]

DanL said:

I suspect if you have an account with one pound in it and years of inactivity, the bank will at some point close it for you… If there’s a better savings rate at a later date, couldn’t you just open a new account then? Or are you hedging against “existing customers only” sort of deals?

well if in xx months they become best again , it would be nice to just redeposit the money vs this email is already in use etc if i had to re apply

[DanL]

steveo3002 said:

DanL said:

I suspect if you have an account with one pound in it and years of inactivity, the bank will at some point close it for you… If there’s a better savings rate at a later date, couldn’t you just open a new account then? Or are you hedging against “existing customers only” sort of deals?

well if in xx months they become best again , it would be nice to just redeposit the money vs this email is already in use etc if i had to re apply

I would be surprised if you deposit back into the same account. Any better rates are likely to be with another product, which means a different savings account. I suppose you deposit into one and then open the new one and transfer, but you could almost certainly just open the new one directly.

[steveo3002]

if you already have log in ive found its usually just a matter of pressing new account and done in seconds

i guess i will leave things with a £1 or so and if not used in 12 months look at closing them down