Despite the fact that I work for Canada’s best-kept-secret bank that usually gives the highest interest in Canada, each paycheque I carve off a chunk and send it over to that big orange-coloured online bank.
Why do I do it? Because my day-to-day banking is at Citizens, and if I keep my savings at the same financial institution I know me: I’ll spend it.
Something crucial will come up –
The Fleuvog shoe sale
The Apple store opening
An unexpected expense (read: daschund trip to the vet emerg, or my demonic dishwasher)
and my savings for christmas, vacation will be plundered.
And yet I know that those expenses, if not planned for and funded, will kaibosh me when the time comes, so I am committed to protecting them from, well, myself and the daschunds.
By keeping them in the “other bank”, it puts a brake on high-pressure temptation. They don’t get plundered. The hassle factor of finding my online access code, going to the site to transfer the funds and knowing it will take three business days – meh. Not worth it anymore.
Christmas, vacations and a handful of other priorities are accounted for.
Readers: do you have any tricks or tips that help you protect your money from seemingly impossible-to-ignore opportunities to spend?
ps: don’t tell my employer about this.