You should have an account with more than one bank

You should have an account with more than one bank, if feasible for you, just in case of an issue with that bank. This applies to everyone, but it's especially important for people involved in crypto.

I am writing this now because my bank just unilaterally closed my accounts without notice or reason. The first I knew of it was my credit card getting declined. When I phoned them to ask what was going on, I was told

1. My account was locked.
2. They wouldn't tell me why.
3. There was no action I could take to get it unlocked.
4. They would notify me if the situation changed.
5. They could not give any time scale for when that might happen.

I thought that so outrageous I asked them to put it in writing, which they refused to do. They did agree to give me a copy of the recording of the phone call. I made a formal complaint, which led to them promising to send me a letter with more information.

In the following week, I was getting emails about direct debits failing. Then I got one saying that the direct debit had been cancelled because the account was closed. Yesterday I finally received a letter from the bank saying they had closed my account. No reason given. They included a cheque for the balance of the current account, but they still hold the money in my savings account.

I'm assuming this is because of crypto. They have queried specific transactions before, most recently a few weeks ago, and I was able to answer their questions to their apparent satisfaction. So this took me by surprise. Fortunately I do have an account with a second bank, which I set up 5 years ago for other reasons, so this been more of an inconvenience than a disaster. I've been able to make online payments and get cash through that.

This is in the UK. Legally banks here are allowed to close accounts without giving a reason, although they are supposed to give a month's notice. I imagine the US is similar. I will be making a formal complain to the regulator. The bank is Santander. I'd been with them for 40-odd years.

The above details aren't important. I give them to illustrate the point: your bank can screw you over without warning. Having an account with a second bank is a sensible precaution to mitigate that risk. For me it didn't cost anything as my second account was a basic one without annual fees.