Best Option instead of joint account?

Sherpa_Walker

Hi

My OH and I would like to start paying our direct debits from one account (like a 'house' account) and then having a individual accounts in our own names for other spends. This is partly to protect my credit rating as his isn't great

What are our best options? Some earlier threads mentioned joint savings accounts. Could we manage one of these online with all the direct debits going out of it? This could be then in both of our names but without creating a financial association. Would that work?

Thanks for your help and advice!

grumbler

Sherpa_Walker wrote: »

My OH and I would like to start paying our direct debits from one account (like a 'house' account) and then having a individual accounts in our own names for other spends. This is partly to protect my credit rating as his isn't great.
What are our best options? Some earlier threads mentioned joint savings accounts. Could we manage one of these online with all the direct debits going out of it?

Normally savings accounts don't allow DDs.

This could be then in both of our names but without creating a financial association.

Why does it have to be in both names? What's wrong with a dedicated single account?

liamcov

So as soon as you have just 1 joint account your credit history merges?

InsideInsurance

liamcov wrote: »

So as soon as you have just 1 joint account your credit history merges?

If it is an account type that reports to the CRAs (eg current account & loans) then it doesnt merge your histories but you become a financial associate and any credit check on a single one of you will be impacted by the credit rating of your financial associates.

Even with non-reporting accounts (eg savings accounts) you may find you get a joint within the organisation history but that wouldnt impact you when applying for credit with external companies

Anthorn

Not exactly a merge of credit histories but an association. But even with single account holders living at the same address there could be a similar association and a bad credit history can still affect a good one. So the differences between single, separate accounts and a joint account can become blurred. The major difference with a joint account is that the association will still exist if one of the account holders moves to a different address.

xylophone

If you have the better credit record, why not set up a sole account in your name for your joint expenses into which you both pay a regular amount by standing order?

The DDs for gas, council tax etc could then go out of this account.

happy_bunny_2

You could set up a cash plus account. Its a pre-paid card account, but has a banking facility that allows up to 20 direct debits or direct payments per month. You have to activate this bit. One of you can get it (no credit check) and add the other card holder.

Just make sure its not going to appear on your credit report as they do the credit builder part of it too which you should avoid.

I wouldn't think it would link you anyhow as someone is a second card holder on a primary account.

http://www.mycashplus.co.uk/cashplus-card-uses/bank-account.aspx

HB