If Black Friday and the holiday shopping season are on your mind, it might seem odd to think that savings accounts — and specifically savings vaults — should also be on your radar. But savings vaults are sub-accounts that help track different savings goals, and you can use them to keep your shopping organized as well as earn interest. Here are four ways multiple mini savings accounts can help you manage holiday spending. You can use them to:
1. Make a realistic spending plan. Have you created a holiday shopping budget? Do you know exactly how much you’ll spend? Having your money in separate accounts makes it easier to answer those questions.
Some institutions that offer savings sub-accounts (sometimes called buckets) let you give them nicknames. For holiday shopping, that can look like “gifts for family” and “gifts for friends.” You can then deposit money into these sub-accounts based on your budget and withdraw funds to cover purchases.
You can also create vaults by…
This article was written by Margarette Burnette and originally published on www.nerdwallet.com