A few weeks ago, I got an email from my bank giving me a head’s up about my savings account becoming dormant. If you are paying off debt aggressively, you may be in a similar situation. Over a year ago, I created a $1,000 emergency fund within my savings account. I haven’t transferred or deposited money into this account in over 11 months according to my bank. If I didn’t complete a transaction by the end of the month (two days for me), my account will be considered dormant.
Dormant Account-
What is a dormant account? According to investopedia.com, “a dormant account is an account that hasn’t had any activity for a long period of time other than accrued interest.” When an account is dormant, you will be unable to access the funds through online banking or ATMs.
How to keep your account active:
- Learn about the specific rules and policies of your bank.
- Call your bank and have them explain the steps to keep your account active.
- Deposit a small amount of money into your emergency account monthly to keep it active.