4 Banking Myths People Still Believe (But Shouldn’t)

Some banking myths sound so believable, people treat them like facts. Relying on the wrong information can lead to money mistakes or missed opportunities. Let’s break down four common myths that might be fooling you. 

❌1. “You can’t open more than one checking or savings account”

✅Reality:
You can open multiple accounts and sometimes it’s even helpful. People do this to organize finances, such as having separate accounts for bills, travels, or savings goals. 

❌2. “If your card is declined, it means you have no money”

✅Reality:
Declines happen for lots of reasons. From fraud prevention flags to tech glitches or spending limits, it doesn’t always mean your account is empty. 

❌3. “Your bank will always notify you if you’re a victim of fraud” 

✅Reality:
Banks monitor for suspicious activity, but people are often the first line of defense. It’s crucial for individuals to check their statements regularly and set up alerts. If something looks off, report it right away and don’t wait.   

❌4. “Using a debit card too often hurts your credit score” 

✅Reality:
Debit cards are linked to individuals checking accounts and it does not impact your credit score at all. Only credit-related products (like loans or credit cards) show up on your credit report. Daily coffee runs will not hurt your credit. 

The more you know, the more confident you can feel about your financial choices. Don’t let outdated banking myths hold you back. Knowledge is the first step to smarter financial decisions.