Joint Bank Account

LplateSaver

colsten wrote: »

For some people it may be straightforward and quick to break their associations. For many, it won't be, so it would be wrong not to point out the enormous risks an association bears.

Explain the risk with closing a TSB joint account where either party can give instruction to close the account?

Account closed. Disassociation filed. It would be pointless to apply for a disassociation from an open account as that is obviously not allowed so that is a moot point.

xylophone

If you are going to open a joint account, then a 123 might be suitable if the cash back/interest would cover the £2 a month account charge.

http://www.santander123.co.uk/?cid=ppc-ca-goo-br-santander%20123&gclid=CJHeyo_DxsMCFQXItAodJWEA4A

grumbler

LplateSaver wrote: »

A little late if the card has been maxed out.

The same for a joint account.

I don't see how it's difficult to close a bank account either, either person on a tsb account can close it.

Theoretically - maybe. Search the board for the practice. Also, before converting a joint account to sole (or closing it) to stop the other party from spending you have to pay the outstanding debt first.
Joint bank account
Coming off a joint bank account.
Joint account with ex
Closing an empty joint current account
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The association lasts a long as it takes to process a notice of disassociation. It's not the death sentence you're making it out to be.

Ignoring that it's not that easy to break, it lasts at least as long as the joint account - that can be disadvantageous for a person with a better history unless both are equally good.

No it just allows one person's credit rating the risk of being ruined while the others would remain blemish free if things ever did go sour.

Yes, but if the other history is equally ruined, it is a very little consolation.

My point remains: for able people a joint account doesn't have any real advantages (besides an extra debit card) but creates problems.

colsten

LplateSaver wrote: »

No it just allows one person's credit rating the risk of being ruined while the others would remain blemish free if things ever did go sour.

I think this is where you might have a rather fundamental misunderstanding. You cannot have a blemish free record if the person you are associated with doesn't have a blemish free record, too. The whole point of being associated is that two of you share your credit records.

LplateSaver

grumbler wrote: »

The same for a joint account.

I think you're falling to grasp my argument. I never stated one was "better" than the other, I merely pointed out that it was funny that you were encouraging jointly using a credit card while condemning a joint account.

Theoretically - maybe.

No literally actually. It's in the terms and conditions of tsb that either party can authorise the closing of the account.

Also, before converting a joint account to sole (or closing it) to stop the other party from spending you have to pay the outstanding debt first.

Again if his gf was to rack up a debt on a additional card he would be solely responsible for it and would have to pay it off before the interest fees had it spiral so either way the debt has to be paid - only in one case do they both have a joint interest in paying.

Yes, but if the other history is equally ruined, it is a very little consolation.

You failed to grasp the point of both having an interest in staying "in the green" rather than one person having free rein on anothers credit and obviously credit history.

My point remains: for able people a joint account doesn't have any real advantages (besides an extra debit card) but creates problems.

My point remains for someone so wary of joint accounts you shouldn't ignore that having an additional card holder is not much different.

LplateSaver

And yes there are obviously benefits to having a joint account. It allows you to take advantage of more switching bonuses and interest
paying accounts as well as the OPs intention of wanting a joint account for bills.

grumbler

LplateSaver wrote: »

... I never stated one was "better" than the other, I merely pointed out that it was funny that you were encouraging jointly using a credit card while condemning a joint account.

What was funny? My point was that there were extra promblems without any advantages.

No literally actually. It's in the terms and conditions of tsb that either party can authorise the closing of the account.

Funnily, one thread that I quoted was about Lloyds.

Again if his gf was to rack up a debt on a additional card he would be solely responsible for it and would have to pay it off before the interest fees had it spiral so either way the debt has to be paid - only in one case do they both have a joint interest in paying.

I don't see how "liable solely" is better than "liable solely and jointly" if the other party doesn't care.

You failed to grasp the point of both having an interest in staying "in the green" rather than one person having free rein on anothers credit and obviously credit history.

As I said, both a joint account and a CC imply some trust between parties and both can be equally dangerous if one party is reckless.

My point remains for someone so wary of joint accounts you shouldn't ignore that having an additional card holder is not much different.

Well, let's agree to disagree.

LplateSaver wrote: »

And yes there are obviously benefits to having a joint account. It allows you to take advantage of more switching bonuses and interest

I am not sure. E.g. with FD you definintely can't get bonuses for both a sole and a joint accounts. I believe with Nationwide you can get several bonuses for sole accounts.
However, I don't want to argue, especially as the OP wanted to open, not switch.

paying accounts as well as the OPs intention of wanting a joint account for bills.

I don't see how a joint account is better than a sole one for paying bills - this was what I suggested.

colsten

LplateSaver wrote: »

And yes there are obviously benefits to having a joint account. It allows you to take advantage of more switching bonuses and interest
paying accounts as well as the OPs intention of wanting a joint account for bills.

Nobody has suggested that joint accounts cannot have advantages. All that has been said, in summary and paraphrasing, is that it would be very foolish to jump into joint accounts without fully understanding all possible consequences. There have also been posts with links to posts that illustrate the unforeseen issues people find themselves with.

It is presently not clear to me whether you understood the need for understanding all possible consequences, but hopefully the readers will.

It is also presently not clear to me how you would help / have helped people who found themselves in a rut because they are stuck with joint accounts. Can you clear this up for us, please?

grumbler

colsten wrote: »

Nobody has suggested that joint accounts cannot have advantages.

To be fair, I suggested exactly this (except the second debit card and ignoring the bonuses).

colsten wrote: »

Originally Posted by LplateSaver
No it just allows one person's credit rating the risk of being ruined while the others would remain blemish free if things ever did go sour.

I think this is where you might have a rather fundamental misunderstanding. You cannot have a blemish free record if the person you are associated with doesn't have a blemish free record, too. The whole point of being associated is that two of you share your credit records.

You misunderstood him either. What he said was correct for a credit card with a secondary cardholder. He saw this as a disadvantage of a CC that I don't agree with.

pinkdalek

If you would use some of the insurances you get with a packaged current account that some banks offer it might be worth considering something like that, mainly as on a joint packaged account you both benefit from the insurances but pay one fee. Only consider this option if you feel it may benefit you both and potentially save you money if you are currently both paying for them seperately.

Other options if it is just for bills consider a bank account that gives you something back eg 123 @ Santander or Halifax Reward.

Getting a joint account does link you both financially and will show on your credit history, which could affect should the account end up in an overdraft scenario. I don't want to scare you off just highlighting a possible scenario/situation that other people seem to focus on more heavily on these sites rather than addressing your original query and looking for some help and guidance.

As for saving, you could do a joint savings account, but rates are not brilliant, ISAs sadly only in sole names, again rates not fantastic but generally a little better and a good start to build up a nest egg.

End of day it's down to you guys, if you have been together for sometime, you obviously trust each other and having a joint account just helps show more commitment to each other.

Good luck.