Why you SHOULD Keep Separate Accounts Even If You Are Married
February 29th, 2008 by LuLuGal
I found this story about a Widow who finds her Credit tied up in her husband’s name after he died. This is a very unfortunate circumstance for her but it just goes to teach us the importance of having your own, separate credit history when you get married.
I have already decided that when I get married my husband and I will keep separate accounts. This is not so that we can hide money from each other, but rather to protect against one of us losing access to credit history if something happens to the other one.
Joint Accounts are okay
We can have a joint account for things that we will be paying together like the mortgage and utilities. We will each contribute to that account and then the account will be used to pay those bills.
Having a joint accounts also helps couples to manage their money better because each partner can monitor the other one and offer advice if needed. When you have a joint account you have someone else who you need to think about when you are spending, so you might tend to be a little more careful about what you do.
Separate Accounts are okay too
Our credit cards will continue to remain separate because we have credit histories tied to those cards. We will also have separat, high yield checking accounts for the things that we splurge on or want to have as discretionary spending.
That makes it a lot easier to track certain things and I do not have to account for why I have been buying socks every month. (I really, REALLY like socks!)
I also have a way to keep things that should really be separate, like getting my hair done or buying things that my (future) husband has no interest in.
Like those pretty pink bath gels with sparkles.
I love getting bath gels and fizzies and poufs almost as much as I love socks. Those are my little indulgences and I do not know of many men who like these things.
I need to have my own little account where I can keep track of how much I spend on such frivolous things because I just know I can get out of control if I am not watched.
These may seem trivial to some people but you would be surprised at the number of households that have arguments over silly items that someone bought.
While I think that joint accounts are great I will continue to keep a few separate accounts just to make sure that if something happens my credit can stand on its own.
What do YOU think about having separate accounts when you get married? Leave a comment and let us know!
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Posted in Credit Report, Finances |
February 29th, 2008 at 8:44 am
I think I posted about that same article about a month ago. Some couples prefer joint accounts and some prefer separate and some prefer a combination of the two. I think whatever works is what’s best. More important than how many accounts you have is your financial attitude and goals as a couple. If your finances (the general you, not you specifically) are bad, having joint or separate accounts really isn’t going to make much of a difference.
February 29th, 2008 at 3:51 pm
We have a combo of seperate accounts but we both have access to all of them. This allows us both to maintain high credit scores. We pool all expenses/money, there is no split. Works great for us. But in the end, it’s what works best for the person in question.
February 29th, 2008 at 5:17 pm
We have joint accounts… I can’t imagine having it any other way…. but whatever works other couples is the way to do it..
February 29th, 2008 at 7:26 pm
Hmm it seems we are a bit split on this here. I agree to having BOTH types but I love the idea of the separate accounts. You never know what is going to happen and I really do not want to account to someone for why I spent $50 last month on fizzy, pink, sparkly bath gel that smells like bubblegum…when plain old ivory soap gets you just as clean and can be used for the whole family.
March 1st, 2008 at 3:06 am
I think I’ll want split accounts with a joint account for major shared purchases. I like having my own spending power. I like having my own money. Afterall, how will I ever buy my future husband a gift if all the money is in a joint account?
March 3rd, 2008 at 12:07 pm
@ HEC:
Hey I did not even think about the surprise gifts. That is another great idea for having separate accounts.
March 3rd, 2008 at 6:18 pm
I think everyone should have something of there own even if they are married. I think it is ok for a married couple to have individual bank accounts, as long as the house bills are being paid. So what if he has some money on the side, then you will not have to worry about him bothering you for money.
March 3rd, 2008 at 9:04 pm
Thanks for your input Tiffany. I like how you are thinking.
March 5th, 2008 at 2:15 am
Some interesting comments here, I think. Having been in both situations ie all accounts are joint and having some joint and some separate, I believe that the latter option is the best. And talking to friends has backed up that belief.
Especially in relation to buying gifts for your partner. Do you really want him/her to know exactly how much you spent on the “birthday/christmas/I love you/I feel guilty gift” that you have given them? It’s just one area that can bring lots of unnecessary angst into a relationship!!
However, I do agree that you need to have a joint account for paying bills and managing any household expenses.
And it is important that both people in a relationship have their own financial feet to stand on should the relationship break up or one partner pass on - you still need to be able to access “your” money until any issues are sorted.
That’s the way I look at it!
Shazan
March 5th, 2008 at 11:04 am
Hey Shazan, thanks for dropping by and leaving your comment. I especially love the last part where you talked about the money issues.
You never know what will happen and you really do not want to have all your money tied up where you can’t get to it without the other person.
March 9th, 2008 at 1:18 am
I am getting married this fall and we haven’t really discussed it yet. I am going to send him this article.
March 9th, 2008 at 12:17 pm
@ SpilltoJill:
Thanks for recommending my article to someone and thanks for dropping by. I hope this gives you some perspective on how to manage your accounts after getting married,without causing conflict.
If he still thinks separate accounts are bad…just remind him that you want to be able to buy him a surprise gift without him seeing how much it costs each time.