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Join bank accounts and financial association
Berkley111
Posts: 45 Forumite
I hope this is the right place for this question. Seems like the most appropriate board.
Does anyone here know about financial association via bank accounts effecting your credit rating or ability to take out loans/mortgages?
The basic situation is that myself and my sister inherited a property last year which was managed by our dad. He has now moved out of the country so can no longer manage the property.
We now need to set up a joint bank account to pay in the rent and to use to pay a direct debit for the mortgage, utilities bills, and get the rent money paid into by the person renting our place.
The problem is my sisters credit rating is terrible. She frequently doesn’t pay mobile phone bills, goes unauthorised overdrawn, pays council tax months late and almost never pays her credit cards on time or until she gets a warning.
My credit rating is something I have always closely guarded. Always paid my bills on time, never gone overdrawn, never made a late payment to a card or bill. I have recently finished paying off both my credit card and a 5 year loan, so my credit rating is good (999 on CE).
In a few months I need to take a loan out for a new car, and will also be looking to buy a house of my own sometime this year. What effect will having this joint account have on my credit rating and my ability to take out the credit I need or get good/better rates?
My partner is also worried, as they have a joint account with me that we use to pay bills, our rent and our kids nursery fees. Will there be a knock on effect for my partner too?
Only really asking as it’s not an easy discussion to have with my sister, and I’d rather avoid it if I can…
Does anyone here know about financial association via bank accounts effecting your credit rating or ability to take out loans/mortgages?
The basic situation is that myself and my sister inherited a property last year which was managed by our dad. He has now moved out of the country so can no longer manage the property.
We now need to set up a joint bank account to pay in the rent and to use to pay a direct debit for the mortgage, utilities bills, and get the rent money paid into by the person renting our place.
The problem is my sisters credit rating is terrible. She frequently doesn’t pay mobile phone bills, goes unauthorised overdrawn, pays council tax months late and almost never pays her credit cards on time or until she gets a warning.
My credit rating is something I have always closely guarded. Always paid my bills on time, never gone overdrawn, never made a late payment to a card or bill. I have recently finished paying off both my credit card and a 5 year loan, so my credit rating is good (999 on CE).
In a few months I need to take a loan out for a new car, and will also be looking to buy a house of my own sometime this year. What effect will having this joint account have on my credit rating and my ability to take out the credit I need or get good/better rates?
My partner is also worried, as they have a joint account with me that we use to pay bills, our rent and our kids nursery fees. Will there be a knock on effect for my partner too?
Only really asking as it’s not an easy discussion to have with my sister, and I’d rather avoid it if I can…
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Comments
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It will affect you if you open an aco!!!! with your sister, not sure about your partner.
If your sisters credit rating is so bad, you may find that she won't get accepted on a joint account anyway.
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Once the account is open, contact the CRA's and complete a disassociation form to remove your associationBank Accounts - Barlcays Premier[/B] - £1000 o/d, HSBC - £200 o/d- First Direct - £500
Credit Cards - Barclaycard £2000 - Silver Card £1300 - Flybe £7500 - HSBC £1000 - First Direct £2500 First Direct Gold £3000
6 credit accounts closed in 2010!
Official SOS Club number 001 - Dry until 01.07.100 -
Innocent_Guy wrote: »Once the account is open, contact the CRA's and complete a disassociation form to remove your association
not really possible as with a normal current account there actually is a financial association.0
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