Multiple Current Accounts

SimonTemplar

Just would like some advice please.

Is it normal and/or advisable to have multiple current accounts?

I'm asking because I currently have a savings account and a current account. I'll be buying a car soon and I'd rather set up a new account entirely for its loan repayments, insurance and tax. I'd prefer to keep it seperate from the day-to-day stuff in my current account. I'd plan to transfer my annual bonus into it every year (boring, I know) so the outlay from my monthly pay for the car is greatly reduced. This is my reason for a preferred second account.

Only downside I can see is a second set of account fees.

Any other issues with this appoach? Is it a common approach?

JTMan

A second set of fees can be avoided by opening an EBS Money Manager current account which has no day-to-day fees with no conditions attached.

If you want to segregated your money into different 'pools' you are far better off doing this with multiple savings accounts rather than multiple current accounts.

SimonTemplar

Is it possible to have monthly loan repayments coming out of a savings account?

JTMan

In general no. I think the AIB Demand Deposit account is one exception whereby AIB allow direct debits from this account. Open to correct on this.