Multiple Bank Account Bonuses

[shaulyaakov]

I just liquidated an investment portfolio to use for a down payment for a home within the next 12 months. Rather than park the money in a high yield savings account (up to 2.5%), I realized that I can just divide up the money into a bunch of checking accounts to get the few hundred dollars for each bank that they give you - so if I split the funds enough times, I can net 1-2k in bonuses in a 6 month period vs a few hundred in interest for keeping the money in a savings account.

Before I do this, has anyone done this? And can I double up on some of the banks by opening separate accounts for myself and my wife? Any downsides here assuming all are FDIC insured? I'd also like to avoid going to branches to open accounts.

[gingyguy]

One downside is if you have to much unearned income you lose out on EIC. I think the amount in total is about $3500

[gozalim]

DOC is all about these.

talk to your mortgage broker. lender may want to see the money in one place, for some time. this setup may make things harder to follow

[shaulyaakov]

DOC is all about these.

talk to your mortgage broker. lender may want to see the money in one place, for some time. this setup may make things harder to follow

True. I'm not at that stage yet of having a banker. I just don't want the money exposed to market risk at this point.

I might do 2 accounts at Simple ($500 bonus plus 2.1%).

[ReadsTheT&C]

Besides the hassle of opening/closing accounts every few months, the biggest downside is the 1099's you will get. Make sure you budget for them by tax season. Also, mazal tov. Bayit Chadash b'Yisrael!