Setting up a joint account with your partner might seem fun but it is a serious commitment and also is considered as a huge step for your relationship. Joint Bank Accounts are an incredible way of sharing your expenses with someone you rely on such as your partner, best friend, or a roommate. Here are some pro tips that one must consider before going ahead to set up a Joint Account…
- Establish Ground Rules: When it comes to money, it is really vital for two people to agree on some basics such as drawing some spending and withdrawal limits to minimize any kind of downfall later. It will be fun to have few goals established with a reward set for you guys when you actually achieve those goals.</ li>
- All or Nothing: It is evident that one of you is going to earn more than the other, which is why it is important for both of you to keep things fair. Deposit a ratio of your earnings into the joint account, say, if A is the highest earner then he or she should be paying 60% whereas the B has to pay 40%.
- Keep a Track: Since the account will be in both of your names, it means that you both will be equally responsible to keep a track on transactions. Regular audits and recording every activity will help you maintain sanity.
- Handle Debts: It is really important for you to be tackling your debts together wisely as you might have commitments such as loan or credit card repayment or child support.
- Cautious with Credits: Just in case your relationship ends, then the debts will still remain in your names. Be wise and mature with handling credits as even one of you start dodging payments, the entire thing will impact on both of your credit scores. If one of you starts missing payments, it will impact on both of your credit ratings.
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