I have seen people with more than 5 or 5 savings account but is it worth or sensible to have so any account when we have average income and not an extraordinary one...
depends on what age you are & bank balance you have !
1) if you are aged 20-35 & have scooter loan, car loan ,house loan, & other personal loans- + you bank SB balance is less than 1 lakhs average ,no need more than 2 to 3 banks depending which card gives better points or gives better offers during online sales.
2) If you are aged 35-50 & have a bank balance of say 5-10 lakhs any given time - still 3 major banks will do ( remember ₹40000 annual interest income is the thresh hold for TDS deduction in any single bank as a non senior citizen)
3)If you are above 60 years & you have no loans of any kind & say you have substantial FD deposits & living off FD interest . Then you dont keep in any single bank FD more than ₹6-6.5 lakhs . Still FD interest is less than ₹50,000/year for senior's so no TDS . never file 15H if your expected income is above ₹2.5 lakhs .
4) If your cash on hand is in ₹50 lakhs - few Crores , open as many bank accounts always keeping ₹5 lakhs in any single bank (RBI Govt gouarantee is 5 lakhs only per pan . but same time more than 1-2 bank failing is not possible) . There around 30 reasonably sound banks in India !(public sector+ private sector)