Many Canadians spread their bank accounts and investments across one or more financial institutions. For example, while someone might have a mortgage with London Life, they could have savings or chequing accounts with other financial institutions.
But is this really the best way to manage your finances? Or is there value in bringing everything together using something known as an ‘all-in-one’ account?
All-in-One: Bringing it all together
The Solutions BankingTM All-in-One account offers great value because it uses centralization to help customers maximize the benefits of several types of accounts.
The name All-in-One is fitting. That’s because this account is many things, including a:
- Line of credit
- Savings account
- Chequing account
- Emergency expense fund
At its core, All-in-One is a home equity line of credit that gives you access to up to 65% of the appraised value of your home.1Footnote 1 Over time and as you pay off your outstanding All-in-One balance, the principal repayments and cash deposits made into the account grow, increasing the available credit limit. This available credit can be used just about any way you like – you could use it to make renovations, pay off credit card debt or cover emergency expenses.2Footnote 2
Additionally, by bringing many different accounts into one centralized account, you could significantly reduce the monthly fees associated with keeping those accounts separate. In time, this could help you build savings.
Finally, after rolling all of your various account types into All-in-One, you’ll receive a consolidated account statement each month, helping you keep close tabs on your mortgage and savings. That helps make All-in-One an effective debt management tool.
All-in-One: potential drawbacks
There’s no denying that, because you can use your home’s appraised value to make purchases, using All-in-One requires discipline. So, even though All-in-One serves multiple purposes, it’s important to remember that paying off your debt remains priority #1.
Want to learn more? A financial security advisor with Freedom 55 Financial can provide a more detailed explanation of the benefits of a Solutions Banking All-in-One account. They can also refer you to a London Life mortgage planning specialist, who can help you establish an All-in-One account.
™ Solutions Banking products and services are distributed by Freedom 55 Financial, a division of London Life Insurance Company. Solutions Banking is a registered trademark of Power Financial Corporation. National Bank of Canada is a licensed user of this trademark.
Solutions Banking products and services are provided by National Bank of Canada.