Joint Account Benefits Vs Being Only a Signatory

LAdelaide84 on 27/06/2017 - 17:01

Hi everyone,

I have been married with my partner for almost 6yrs now and since then we have had only one account in his name only. I did some casual jobs, my kids Centrelink payments, my parents gave me some money on our wedding etc everything has been in that account. I am a signatory to it. I have completely no knowledge on using banks and never felt a need to know as I have had my debit/credit cards. I have just started working part time and want to continue work as my kids are in school and settled a bit. We are having a lot of arguments as I want it a joint now and he's not ready. I will be making good contribution and I have always hated to put his name on my jobs bank forms. Now I am adamant that I want it to be joint and his final decision is that I am signatory to it and it doesn't make much difference if it becomes a joint anyway. So to be short I need to know what are the benefits on making it a joint than just staying a signatory to it?

Financial

Comments

  • retiredfeline on 27/06/2017 - 17:05

    I believe the most important difference is that if he dies, you might not have access to the funds if there is a dispute until probate is granted.

    • pencilman on 27/06/2017 - 17:41

      This is correct, but prob not high on your list of importance at this time of your life.

      For legal purposes, in a marriage the assets are shared so there is no legal need for you to have your name on your account.
      It does seem strange, however, that he is adamant your name is not added.

      Perhaps it would be appropriate for you to have your own account for your pay to go into. Money can easily be transferred between the accounts as needed.

      One point, in general it is better not to have assets in joint names. If either is sued, than there is a claim to the asset.
      Also there may be taxation advantages in keeping the account in one name, eg. one person may be on a lower tax threshold

  • chumlee on 27/06/2017 - 17:13
    +7

    Tell your husband to be a man and do the right thing by the relationship.

    As barefoot investor says, it's a form of domestic abuse, that being financial abuse.

  • geek001 on 27/06/2017 - 17:16
    +2

    Did he say why he doesn't want it to be a joint account? Not ready for what exactly? You gave him his children, that's the least he could do.

  • holdenmg on 27/06/2017 - 17:34

    I don't see how a joint decision can be made unilaterally. lol

  • Archi on 27/06/2017 - 17:43
    +3

    in the meantime get your own account deposit everything else in there from today onwards till he is ready, (not sure what for) he is your husband.

  • hashtagbargain on 27/06/2017 - 17:49
    +3

    Regardless of how the joint account option goes, you should open your own account - its liberating, fun and a great way to feel strength. Free debit accounts can be opened at NAB, ING and Macquire. Chk ozb for referral, for bonus $.

    Good luck, and hope to see you with a debit card soon!

  • thord on 27/06/2017 - 18:07

    IMO joint accounts are a relic of the past. Get your own accounts, it costs nothing.

    About the only reason to ever have a joint account is if you have a mortgage together. Or if you're a single income family.

    In your situation, you're working. Get your own accounts.

    Joint accounts are a financial mess.

    • Euphemistic on 27/06/2017 - 20:27
      +1

      Not sure why they are a financial mess. Had one since I got married. We have a couple of accounts to suit different purposes. One joint account for everyday stuff and my salary. Two high(er) interest accounts, one linked to online broking, also joint names. My wife has a separate account at a separate bank, just in case the other bank goes south. Her salary goes to that account and when the balance gets too high we transfer funds across to the joint account.

      Joint for most stuff works, especially if linked to regular income and expenses. Other accounts are useful as savings or rainy day funds.

      Having a joint account for the majority of your fund and transactions etc makes life easier if something goes wrong, like illness, accident or worse.

      • thord on 28/06/2017 - 12:57

        It's a financial mess because it blurs the two people into one that is not really possible to separate if needed.

        I don't mean that it's a practical everyday mess, I mean it's a financial mess if you ever want to try to untangle it.

        • Euphemistic on 28/06/2017 - 14:41
          +1

          That's a better clarification. Yes, it is tricky to untangle IF you ever need to untangle. But in a stable relationship it is very useful.

  • KaTst3R on 27/06/2017 - 18:47
    +1

    Best case scenario is both of you get your own accounts then if possible one joint account for household usage.

    Other than the obvious reasons of having your own personal funds, in the unfortunate event if he dies suddenly (touch wood), you will be locked out of any money until the grant of probate is given which can take a couple of months to years. A grant of probate is basically a court order process whereby the trustees or executors will send out letters to all the financial institutions to check if the deceased has any assets or accounts in their name. This is a lengthy process and for someone who is well to do, it can take years to gather all the assets as trustees may also write in to financial institutes overseas. Once everything is gathered then the grant is given for the trustees to distribute the assets. You may have some time to take money out if you have the ATM card but if the bank is notified, everything in his name will be frozen.

    • Adelaide84 on 27/06/2017 - 21:24

      Hey thanks for a detail reply. This makes a lot sense to me now

  • tsunamisurfer on 27/06/2017 - 21:58
    +2

    Withhold all intimacy, your card will be ready for you in 5 working days.

  • echelon6 on 29/06/2017 - 00:09

    joint accounts are immune to garnishee orders against one person's name

  • Adelaide84 on 29/06/2017 - 17:02

    All he says is he doesn't want any headache of having a second account at this time of the year. It is easy to keep the exisiting account as he has given bank detail to so many places. And also it is easier to have just one account for tax purposes. I think it has become more of an ego issue for him as he has been always 'the man' for dealing financial issues. I told him what if happens to him tonorrow and his account will be frozen?
    The final words so far are I give his account detail for my job or I quit and stay at home.

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