Opening a Joint Account | Joint Accounts for Couples | Singapore

Bank Accounts | Singapore

So you have already found the right partner and heading to get married? But keep in mind that apart from the big fat party marriage also comes along with many responsibilities. And many important financial decisions. For instance, who is going to pay the bill? Are the expenses going to be shared equally? No one wants bad arguments on finances. But money matters can turn things ugly in no time. In this blog, we tell you how opening a joint account can help you.

Why Opening a Joint Account will Help?

Some couples stay away from getting a joint account because they think that opening one can lead to a loss of independence. Opening a joint account means having to answer how and why they spend their money. Also, it has a risk of their partners running off with the money, and in some cases heated arguments about unequal contributions. However, when you have decided to marry someone does all of these issues matter? Of course, you need to think about things carefully and take into consideration the what-ifs. We suggest it is better you don’t overthink and ruin a healthy relationship.

People get married to each other so that they can share a life together. Now that includes having a family, kids, and of course, sharing assets too. It is also including financial obligations. It may seem risky but a joint account can bring about many benefits like open communication and transparency. In turn, bringing in a higher level of trust between the couple.

When you both contribute a part of your income towards a shared fund, you’re both are equally handling all your household expenses as a team. And being more understanding towards each other. It depends on you the lengths you are willing to go for your marriage. Do you think you are ready to go all the way with this person?

What are Joint Accounts?

Joint accounts are basically an extension of your regular savings account. You add an additional name to the account and that’s it! It’s a joint account! Pretty simple isn’t it?

However, joint accounts are divided into 2 categories -joint-all accounts, and joint alternate accounts.

Joint-alternate accounts will allow the account holders to perform transactions individually and still holds all the parties involved liable for all transactions done. This means you will be equally responsible in case of any debt incurred by either of you.

Whereas, joint-all accounts will require consent from all the account holders before any withdrawal/transaction is made. It means your spouse cannot use the money anyhow he/she likes.

Opening a joint account can be big deal to you so while you are in the process, keep an eye out for the “joint and several liability clause.” This is extremely important before you sign the agreement. It means the bank can choose to either hold both of you accountable in case things go wrong.

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