A joint account could either tear a couple apart or make them stronger which is why it is very essential that spouses discuss thoroughly the pros and cons of opening a joint account.
Money issues should be treated delicately because it can turn the best of couples into enemies or could lead to total openness and help spouses build their trust in each other.
Opening a joint account, encourages a lot of things like accountability and financial discipline among married couples but there are certain factors to consider before making a final decision with your husband/wife.
Marshon Thomas of YourTango, lists 5 things couples must consider before opening up a joint account.
Set a goal: Have an idea about how much money you want to save in the account and don’t waver from that goal.
What is the contribution amount?: Both parties need to agree on a set amount they’re willing to deposit and when. Make sure both parties are comfortable with the amount of the deposit.
Pick an institution: Make sure utilize you an institution that is convenient for both of you. The bank or savings in loan should be easily accessible for both of you.
Open an individual account: It is important to have a personal account that doesn’t interfere with the joint account or any bills. This is a savings account and that alone. This is not for miscellaneous spending.
Know the rights survivorship: Must joint accounts carry rights of survivorship. If one of the joint holders dies, the survivor automatically has rights to the money. On the flipside, the survivor will also be liable for the deceased’s debt.
In conclusion, if you trust someone enough to share your life with them, you should trust them enough to share your money. Remember to always be open and honest with your spouse, and expect the same in the return.
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