DeVries Law Firm - August 2021

TAKE A BREAK

IT’S TIME TO DIVERSIFY YOUR BANKING! 5 Reasons Not to Keep All of Your Money in One Place

You’ve probably heard the expression, “Don’t put all of your eggs in one basket.” But what about “Don’t put all of your dollars in one bank”? Banking at a single institution is the default for most people, but just because something is the typical strategy doesn’t mean it’s the best one for you! Here are five reasons to consider taking the road less traveled. 1. Different banks have different perks. Credit unions are member-run nonprofits and often don’t have minimum balance requirements. Traditional banks have cutting-edge financial technology and more loan options. Some banks offer high-yield checking accounts while others don’t, and online banks can have interest rates on savings accounts up to 15 times higher than brick-and-mortars. By banking with more than one institution, you can get the best of both (or three!) worlds. 2. You’ll have a backup if one bank fails. According to Bankrate, 511 U.S. banks failed between 2009 and 2020. That’s not nothing! If your bank isn’t insured by the Federal Deposit Insurance Corp (FDIC) and it fails, you could lose your entire balance, so diversifying your accounts (or choosing only FDIC-insured banks) is a good backup measure. 3. You can make sure ALL of your money is insured. The FDIC only covers up to $250,000 per depositor, per bank. So, if you have high-value accounts, depositing with multiple banks can ensure all of your money is covered. 4. The more accounts you have, the more withdrawals you can make penalty-free . Many money market and savings accounts have limits on how many times you can pull money out each month. If you bank with several institutions, you can make a few withdrawals from each of them, stay under the limits, and avoid fees. 5. You’ll have access to more banks and ATMs. Do you travel across your city, state, or the country regularly? If you do, it can be beneficial to bank with several institutions so you’re always close to an ATM or bank branch. For example, you may want to use a local credit union at home for the member benefits but bank with a national bank for out-of-state emergencies.

During the Nazi occupation of World War II, the Third Reich converted the medieval Austrian castle, Castle Itter, into a prison for important French prisoners. The castle’s cook encountered Major Josef Gangl, a Wehrmacht officer, who, after becoming disillusioned with Nazism, had decided to help the Austrian resistance instead. So, in order to free Castle Itter, he hoisted a white flag when he made contact with Captain Jack C. Lee Jr., a U.S. tank commander. THE STRANGE BATTLE OF CASTLE ITTER

The battle on May 5, 1945, was short and resulted in only one casualty — Josef Gangl was killed by a sniper. It ended when a small rescue group dispatched by Major John T. Kramers arrived with a column of tanks and scattered the SS troops. The prisoners were freed, Lee was awarded the Distinguished Service Cross, and Josef Gangl, for his service to the Austrian resistance, has a street named after him in a nearby town that still remains to this day.

www.devrieslegal.com | 3

Published by Newsletter Pro • www.newsletterpro.com

Made with FlippingBook - Online Brochure Maker