As a former overseas student, I find it very convenient for banks abroad to offer sub-accounts – an account that resides within our primary bank account.
It’s like having a bunch of mini bank accounts all in one place, and it can be helpful to organise our money.
We can use sub-accounts to breakdown our expenses into more manageable categories.
For example, back in the United Kingdom (UK), I would separate my sub-accounts into rent, groceries, and utilities, without the extra hassle of managing multiple accounts.
I find this very practical as I can stay mindful of my spending and make it easier to save money. Rather than clumping together all the expenses in our savings or current account – where we make all our payments and leave a certain amount of money untouched. Where sub-accounts really shine are their ease of use and security. Many banks abroad allow for several sub-accounts under our main primary account and transfer money back and forth.
This means our money is still accessible in case we need to dip into it during an emergency.
Upon inquiring two local banks here, I was informed that the use of sub-accounts is not listed as part of their banking services.
I would be the first to sign up if this service is available at any local banks as I believe the idea of being able to manage multiple accounts from a single dashboard to plan our budget, cash flow and expenses could be one of the effective ways to organise our personal finances.