Joint Bank Accounts

YorkshireBoy

HisDoris wrote: »

definately think i'll be better off with the alternative account! :-D

Even after you've bought all the other insurance products (you obviously thought you needed) elsewhere?

And don't forget, if you're a regular overdraft dipper (but less than £300) then you'll lose out because the standard Reward account doesn't have a fee-free £300 overdraft facility.

HisDoris

Oh! The insurances aren't a huge thing to me - it was the overdraft facility that made me change to the reward account in the first place. Unfortuantely I do have a tendancy to dip into my overdraft a little so if the other account does not supply a 'free' £300 overdraft then maybe I'm better off staying with my current reward account. Thanks for that Yorkhire Boy

YorkshireBoy

HisDoris wrote: »

Oh! The insurances aren't a huge thing to me - it was the overdraft facility that made me change to the reward account in the first place. Unfortuantely I do have a tendancy to dip into my overdraft a little so if the other account does not supply a 'free' £300 overdraft then maybe I'm better off staying with my current reward account.

So why not switch to the standard Reward account, move £300 of your savings into it, and treat this as your emergency funds, ie never let your account go below £300...except in dire emergencies (the kind that make you dip in now)?

The interest lost on the £300 will be minimal (at 3% gross you'll lose around £7 a year after tax), so you'll make a clear £53...rather than spending £150 to make £60.

Of course all this relies on the insurances not being "a huge thing".

Make sense?

rb10

HisDoris wrote: »

Oh! The insurances aren't a huge thing to me - it was the overdraft facility that made me change to the reward account in the first place. Unfortuantely I do have a tendancy to dip into my overdraft a little so if the other account does not supply a 'free' £300 overdraft then maybe I'm better off staying with my current reward account. Thanks for that Yorkhire Boy

Essentially, if the overdraft is the only benefit of the account that you use, then if you're overdrawn by up to £300 for (on average) 12 days per month or less, then you'll be better off changing to the Reward account - you'll be charged £1 per day for being in the overdraft, but that'll be less than the £12.50 that you are charged now.

If you are (on average) overdrawn by up to £300 for 13 days per month or more, then stay as you are.

HisDoris

I understand what you're saying about putting £300 from my savings into a normal account and dont touch it but thats easier said than done for me. My savings are transferred straight into OH's ISA on each payday so that as soon as its out of my account I can't see it and therefore I dont spend it - I'm not the greatest at the saving game so I try every way possible to stop me touching what I have managed to save so that wouldnt really be an option for me .

I dont use the insurances but I do tend to be in my overdraft quite a lot of the time, never by more than £100 but I do use it often and I think it generally would work out as more than 12 days each month so maybe I'm better off just sticking with the ultimate reward account until I can feel like I can cope without having my overdraft (I make it sound like its a drug! lol)

Thanks for all your advice

Foggster

YorkshireBoy wrote: »

You're entitled to disagree but I think you'll find CLAPTON is perfectly correct.So what you're saying is that one of you had a poor credit rating and this did not adversely affect the other's credit rating? I'm amazed!It's irrelevant what you use the account for.Ah, I see where the confusion lies. Perhaps CLAPTON should have said......in which case I think you'd agree with him?It doesn't matter how the association was created (ie loan, current account, mortgage, etc), the fact remains that a financial association exists.

Worst case scenario, where ex's are concerned, is you become financially associated with their financial associates...thus possibly trashing your credit rating further.

Thank you YB for your thorough analysis of my post. I am truely flattered.

I can only base my response on my personal circumstances. My DH and I are now separated, hence the bank account going back to a single name. Yes one of us did have a poor credit rating, no it didnt impact on the other gaining credit. Be amazed. The reason I said about the bills and outgoings was to save someone saying "you may have had a loan together".

Maybe it comes down to individual banks and circumstances.