Are you looking into turning your account into a joint one? Do you want to know how to add someone to your bank account? Find out here!

Have you ever thought about sharing you bank account with someone? If you have, then you probably also asked yourself how to add someone to your bank account. That’s what we are going to help you with today.

Sharing a bank account with someone, like a spouse, partner, or close family member, can be a convenient way to manage finances together. But before you hit the bank and add someone to your account, it’s important to understand the process, the implications, and potential drawbacks.

Can I Add Someone to My Bank Account?

Yes, in most cases, you can add another person to your existing savings or checking account, turning it into a joint account. This grants the other person equal access to the funds in the account, allowing them to make deposits, withdrawals, and potentially write checks (depending on your bank’s settings).

Before adding someone, it’s important to have a clear conversation about spending limits, contribution amounts, and how disagreements will be handled. Keep in mind that, some banks offer accounts with features similar to joint accounts, but with limitations on spending and access.

Pros and Cons of Joint Bank Accounts

Pros:

• Shared access simplifies managing finances for expenses like rent, bills, and groceries;
• Both parties can monitor spending and contribute towards shared goals;
• If the other person has good credit history, it can positively impact your credit score when they’re added as a joint owner;
• In case of an emergency or your incapacitation, the joint owner can access funds to cover bills or other necessities.

Cons:

• You relinquish some control over your finances, as the other person can make transactions without your knowledge;
• Both parties are liable for overdrafts, so irresponsible spending by one can negatively impact your account;
• If the other person has bad credit, it can hurt your credit score;
• Removing someone from a joint account can be a complex and lengthy process.

How to Add Someone to Your Bank Account?

The process for adding someone to your bank account varies depending on your financial institution. Here’s a general guideline:

1. Visit a Branch or Call Together: mMost banks require both parties to be present (physically or over the phone) to initiate the process;
2. Request a Joint Account Conversion: inform the bank representative of your intention to convert your individual account to a joint one;
3. Identification Verification: the new joint owner will need to provide proof of identification, such as a driver’s license or passport, along with their Social Security number;
4. Signature Card Completion: both parties will need to sign a signature card, specifying how transactions will be authorized (e.g., jointly or individually);
5. Review and Approval: carefully review the terms and conditions of the joint account before giving your final approval.

Who Should I Add to My Bank Account?

In general, it’s safest to only add:

• Your spouse, especially if you share many expenses;
• Your child, if you want to monitor their usage (though if you want to be able to set spending limits or other controls, it’s probably better to get a kid-friendly bank account);
• An aging parent, who needs help paying bills and/or who is experiencing memory problems and needs someone to monitor their spending.

How to Remove Someone From a Joint Account?

Removing someone from a joint account can be a tricky process. It typically involves visiting a branch with the other person and completing the necessary paperwork. However, if the other party is unwilling to cooperate, it can be a lengthy legal battle.