bank account for son

taffj

My son who is 45 and single and has a terrible gambling addiction in which he spends all his monthly salary as soon as it is paid into his bank account, has asked me to take control of his money. As I live some distance away from him and not wishing his salary to be paid into his present account I would want his salary paid into an account in my name then I could transfer money on a weekly basis into his present account. I already have a Nationwide Flexaccount and a HSBC current account in my name and I would not want his salary to go there. I know that these days banks are particular about opening accounts and since my occupational pension and state pension are tied with these accounts I would be grateful for any advice as to how to go about this situation.

xylophone

Might it be possible to set up a non-interest bearing joint account (both signatures required for withdrawals)? Your son then arranges to have his salary paid to this account.
Then transfer all your son's important standing orders/direct debits (mortgage, water, phone etc) to this account so that you know these bills are paid. Then set up a weekly standing order for his "pocket money" to go to his own current account.

Have your son write you a letter evidencing the arrangement (and the reason for it) so that you /he have proof in the event of tax/IHT issues?

seriousDFW

Is it possible to have his salary paid into an account with your name on it?

If so, I would open 2 accounts. One in your name and one in his - make sure his is a 'basic' account like the Coop Cashminder. Then get the salary and DD's paid into the account in your name (I don't think it would be difficult to get this, without overdraft).

Then you can work out how much he can afford to have to spend and you can transfer that into the account in his name to do with what he wants.

That way you know all bills are paid from the salary as he can't even touch it, and he can only spend what you transfer.

Paul_01

I feel for you. A gambling addiction can tear families apart. I sincerely hope he gets the help that he needs.

With regard to his wages - there is no reason that his wages couldn't be paid into either of your existing accounts, unless you simply dont want that to happen.

If you would rather have a completely new account, there really shouldnt be a problem with that - many people have multiple current accounts. Perhaps open a basic account as has been mentioned, barclays do a decent one with internet banking etc so it would be very easy to transfer his money anytime you wanted to.

Paul.

taffj

Thanks for your replies. He's informed me that he has 2 accounts with the Halifax, one being a web saver in which his salary is paid into and the other being their card account which he has had for years, so I will take charge of the web account (new passwords etc) and he will have the card only account into which I will arrange a weekly transfer of essential cash into from the web account. We are seeking professional help with the addiction.

YorkshireBoy

taffj wrote: »

He's informed me that he has 2 accounts with the Halifax, one being a web saver in which his salary is paid into and the other being their card account which he has had for years, so I will take charge of the web account (new passwords etc) and he will have the card only account into which I will arrange a weekly transfer of essential cash into from the web account.

Sounds like he already banks online? If so, are you sure you can have separate log in details for each of the accounts? I don't think you can, but could be wrong.

I'm sure you already know, but he'll be breaching the T&Cs of his account by allowing you online access.

thenudeone

I think you should be wary of putting his salary or anything else of his into an account your name. Whilst probably not illegal, it can cause problems in relation to income tax, means-tested benefits, inheritance and inheritance tax, and other areas.

It's also probably a breach of the T&Cs, because to open an account you normally have to declare that all the money in the account is yours. In this case it isn't.

You can often operate an account in someone else's name either by using the bank's own forms for adding a non-party signatory or by a standard power of attorney (this doesn't need to be registered or anything, just witnessed) although getting banks to accept them might be problematic.

I can't suggest any particular banks that would accept an account operated in this way, but this I'd definitely recommend this approach in order to protect both of your interests.

taffj

The account would still be in his name the only change would be that he will have 'forgotten' his password but I will remember it.

innovate

Have you tried gamcare - - they probably have come across very similar cases before, and could perhaps discuss an approach with you and your son that embraces finances and other support.

Paul_01

The only issue with that arrangement, is that in a moment of weakness all your son has to do to get access to his money is go to a branch with ID. For this to work, the money needs to be paid into an account in your name. I personally wouldn't be too concerned about t's and c's etc - this is far more important.

taffj

If he did that after asking me to take over the running of his account then that would tell me that he had no intention of changing his ways and that would be the end of our relationship.