More than half of bank customers had more than one account in 2023. This is according to a recent survey by the Kenya Bankers Association (KBA).

This trend highlights a growing desire for customised convenience in services and products among bank customers.

According to the Banking Industry Customer Satisfaction Survey (2023) by KBA, the number of bank clients with two bank accounts stood at 53 per cent, with the proportion of holders of 2 to 3 and 4 to 5 bank accounts representing 8.2 per cent and 1.2 per cent, respectively.

Lastly, respondents holding more than six accounts accounted for 1.2 per cent in the 2023 survey compared to 0.7 per cent in the 2022 survey.

Kenya Bankers Association Chief Executive Officer Dr. Habil Olaka said the growing trend in multi-banking underscored increasing competition among players in the banking sector in product offerings as well as in customer experience.

‘’Considering the elevated level of flexibility at the banking public’s disposal, banks that prioritise the needs of customers will continue to have a significant competitive edge over the rest,’’ said Dr. Olaka.

Why people have multiple bank accounts

There are several reasons opening multiple bank accounts could make sense for you, including the following:

1. Budgeting

If you’re struggling to budget, opening multiple accounts might be a solution for you. This is because having multiple accounts allows you to separate money for expenses from savings.

This means that you can have separate accounts for different categories, simplifying expense tracking to see whether you’re staying on budget or need to make adjustments. You can also track progress towards savings goals better.

2. Access to features and perks

Different bank accounts offer a range of features, tools, and perks. While many accounts offer similar basic features, maintaining multiple accounts can provide access to valuable benefits. For instance, a checking account typically offers access to ATMs, check-writing capabilities, and bill-paying features, while savings accounts earn interest, which can help you reach savings goals quicker.

3. Separating finances

Having multiple bank accounts can help separate finances when needed. For instance, couples might want a joint bank account for funds managed together and separate accounts for personal funds. Similarly, for small business owners, having a different account for your business finances makes it easier for bookkeeping and tax purposes.

4. Flexibility

Some banks may impose restrictions or transaction limitations on certain types of accounts. Having multiple accounts gives you the flexibility to avoid limits as needed.