How many bank accounts do you need?

A quick tip for anyone using borrowed funds to invest but has to park the borrowed money in an offset account first. You can also see this article here.

Setup multiple offset accounts being sure to keep personal funds in a separate offset from borrowed funds. This is a simple strategy that will ensure when the cash is eventually used for investment purposes there is a clear line drawn from the loan, to the offset account then to the investment. This can help when claiming interest expenses and is good housekeeping. For further information about this see Terry W’s post here. 

Most banks will allow you to setup multiple offset accounts either online or by making a phone call. Your broker should be able to request multiple offsets before settlement of a loan with most banks but after that it’s a personal banking matter and you’ll have to do it yourself.

 This is general advice only. Seek specific advice for your particular circumstances. Tom Simpson is The Bearded Broker, ABN 82 409 665 566, an Authorised Credit Representative 478783 of Voyage Wealth, ABN 37 914 178 497, Australian Credit Licence 444489.