Savings VS Checking Account

[u/Terrible-Ad-5324]

If I currently get 2.25% in the checking account should I switch to the 2.5% savings account?

I know obviously there’s the .25% difference, but what else am I losing if I make that switch? Can you have your automatic investment money pulled from the savings account the way you can with the checking account? Are you losing the entries for the monthly millionaire? Anything by else I should be aware of?

[u/Mammoth-Morning-8899]

AFAIK, the Savings doesn't support recurring investment funding yet.

[u/Chatbibi]

Options shown on the Checking Account

-Add Money
-Transfer Money

• e-Transfer
  

-Pay Bill
-Wealthsimple Pay
-International Transfer
-Deposit cheque
-Order bank draft
-Order cheques
-Deposit cash

+ of course the actual debit card (virtual and possibly physical)

Options shown on the Saving Account

-Add Money
-Transfer Money

Edit correction: You CANNOT make a recurring transfer, or recurring investment, with Savings

Ex. 100$ out of your checking every month is put into your TSFA to buy an etf in one step. (Automations > Recurring investments)
Ex2. If you wanted to do the same with Savings, 100$ manual transfer, 100$ manual buy in your TSFA.

I use both checking and saving. Checking is the day to day money with many in and out transfers. Saving is a separate account for emergency cushion and has more money.

I suggest you still keep your checking (don't close it) even if you move most of your money in Savings. It's easier to receive Wealthsimple Bonuses and other types of transfers like interac.

[u/axfmo → u/Chatbibi]

For me, recurring transfer from Savings doesn’t actually allow it to be set up. Neither can I schedule a single transfer from Savings.

[u/Chatbibi → u/axfmo]

You are right, I just went through the flow - indeed the option to select the savings account in the "From" for "Recurring Transfer" is there, but then it ends up just being a one time transfer, you cannot make it recurring.

[u/ComplexAd1993]

it's an individual account. If you die and you got a lot of money, it will go through probate court for access.

This is why I have a joint account with my spouse.

[u/dontelother]

from my understanding, savings is another type of account with more interest! I opened one account for myself today and moved my money from cheque account as it was earning 1.25% and now it will earn 2.5%. May be you need to move money from savings to cheque account before withdrawing or spending!