Joint Bank Account

cratoria

I recently purchased a house and my girlfriend has moved in also. We currently transfer money between individual accounts to ensure we half everything but believe it would be easier to setup a joint account for direct debit, food etc.
Is this a god idea? Any idea which is the best bank/building society to use it will primarily see money go in and come out with any extra being saved up in the account for something nice
Think that if we keep our individual accounts and pay 25% each of our salary I earn more so 25% of my wage plus 25% of her wage a month should cover it or am I being taken for a mug?
So basically asking who is the best bank to go with?

Cheers!:beer:

premierfella

I see no quick answers were forthcoming, perhaps because you actually have two questions rather than one:
1. Which is the best bank for a joint account?
2. Should I open a joint account?
Neither question has an absolute right or wrong answer.

The best bank for a joint account will pretty much be the same as the best bank for a sole account. There are so many different variables that it is very difficult to give an answer. The Halifax Reward account might be a good starting point if you can be sure that the account will not go overdrawn for more than a few days a month. Some on here (myself included) would also caution you to think carefully before opening a Santander account. Other than that, search the forum for discussions on bank accounts and customer experiences.

On the question of a joint account, you need to be aware that this will create a financial link between you and your girlfriend (which you may not already have as you indicate that you, rather than you as a couple, purchased the house). So you need to consider the worst case scenario and be sure that you are happy to accept the potential financial consequences of such a scenario occurring (e.g. what if your girlfriend decides to empty the account balance and more?; or she runs up debts which then make it difficult for YOU to get credit in the future because your finances are linked?). Personally, I think joint accounts have merits in some situations, but too many people forget to consider the added complications that come with them if and when relationships between the joint account holders break down.

getmore4less

Do you have any financial links allready?

If not why create one?

Whats the situation with the house?
Is the OH contributing to the purchase in any way?


If you do open a joint account make sure it is with a bank neither of you currently deal with especialy those you have savings with.

carbonmonoxide

I set up a joint account when I bought a house with my partner - just makes things easier for paying bills, food etc. You can still keep your savings seperate if you wish

cratoria

Thank you all foryour replies they have been very helpful

I do not have any financial links but as stated by "carbonmonoxide" it just makes things a little easier to manage especially with being abel to keep my own personal savings

The one concern I do have is that somebody told me that if we were to split (which I cant see happening) and my girlfriend can prove she paid to contrbute t mortgage, bills etc for at least 6 months she would have a claim to the house? This is obviously somethig I do not want to happen as I have stumped up over £30,000 for deposit and paid all the fees etc.

Can anybody shed any light on this because presumably getting a joint account would be an easy way for her to prove this :think:

jonesMUFCforever

You want your cake and eat it.
She won't have to prove anything - the longer she lives in your home the more 'rights' she will get get and should you have kids well kiss goodbye to your £30k straight away.

Go and see a solicitor and get a pre nuptial (or equivalent if you are just living together) agreement now.
It might not cut any ice with a judge but is your best hope other than giving her a rent book and make her a tenant.

getmore4less

carbonmonoxide wrote: »

I set up a joint account when I bought a house with my partner - just makes things easier for paying bills, food etc. You can still keep your savings seperate if you wish

As long as they are in a different financial institution. (and hope they dont merge)

A financial link is a very serious one and can be very difficult to break when things go wrong.

IMHO the time to do it is when you chose to buy a house together since this is the first time you have no choice.

sevenupcan

This is just based on past experience. If it were me I would set up another account where the expenses are paid from but not held as a joint account. I say this because the joint account has some draw backs. The first is that you are liable for whatever expense are paid out of the account. And secondly if you do need to close the account and you are not together any more you will need your partner's consent.

The one thing a joint account may have the added benefit of though is that you can both manage it and have your own card which can be useful if you need to put a meal or shopping on it. You may be able to get a second card on a normal account though, I'm not sure.

All the best.

cratoria

jonesMUFCforever wrote: »

You want your cake and eat it.

I have to disagree!!
My gorlfriend has moved in as it is actually saving her money not so I can benefit
I bought the house with the itention of paying for it entirely by myself and I am able to do so

However the last thng I want to happen is to be taken for a mug and lose everything because I got a joint bank account so was just asking if having one does tie you down to a certain extent

Reading from previous comments it would appear that a joint account would not be preferable at the moment!