Joint account or separate accounts for your insurance?

When you live as a couple, what is better, having each its account or do joint account?

You can discuss to infinity of this issue; supporters of joint accounts and the defenders of the separate accounts are each and other good arguments. The answer to this question depends on quite often:

·         Of your relationship to money and consumption,

·         Their respective levels of your resources: you earn about as much one as the other or on the contrary your resources are clearly unbalanced,

·         Your way of life (equal or not, with children or without),

·         Of your matrimonial regime if you are married: If you are in the community, legally all income (including also those of your own property) belong to the community, this may have the sense to match this rule with the management of your accounts; Conversely, if you are in regime of separation of property, a joint account may complicate things. Remember that if your spouse dies, its own accounts will be blocked until the settlement of his estate.

Sometimes, the money management (and that accounts closely related) can be source of friction within the couple, or even an element leading to separation. Other times, these questions are not conflict as long as the couple is doing well, but symbolically become the node of discord when the couple is defeated. The death of the spouse may also be blocking source, especially in the case of separate accounts when dies of both of which account was the most power.

Some technical points to know before making your choice

If you opt for a joint account, you open what is called a 'joint account' that is an account opened in the name of several owners who may have or not the ties of kinship. In this case, there are two licensees to equality.

The joint account operates on a principle of solidarity between the joint holders of the account. Everyone can use the funds available on the joint account or denounce the joint account (it must make the request to its bank). In the event of negative balance of the joint account, each of the joint owners is considered debtor.
The denunciation of the account attached by one of the co-owners has an immediate effect and the Bank is required to notify the other joint owners.

The banking ban, if necessary, applies to each of the joint owners and each of their personal accounts. However, it is possible to designate in advance of the opening of the joint account, thanks to the joint account agreement, responsible for co-owner incident of payment or dishonored cheque. The banking ban, if applicable, applies to the joint account and the (x) single (s) account (s) responsible for co-owner.

You can also opt for three accounts, two separate and one common joint account. The joint account allows paying the family bills and separate accounts will be more for the individual daily spending.

Finally, you can also give power of attorney to your account. If you plan too wide and allow all kinds of transactions (withdrawals, issuing cheques...), the agent (the person to whom you have given power of attorney) could very well empty your account.