banking

What is a joint account?

 

What is a joint account?

The Bankrate.com financial term of the day is: "Joint account."

With a joint account, the more the merrier. It's a bank account shared by at least two people, and they share all the rights and liabilities. That means if one person deposits a million dollars into a joint account, all of the account co-owners would have the ability to spend that money. On the other hand, everybody loses when a joint account is sapped because of one co-owner. For example, the account could be garnished for one person's back taxes or old debt.

A joint account can offer togetherness with a loved one or convenience with a business associate, but there's always the risk that an account co-owner could clean you out.

To find the right bank account for your needs, visit the checking and savings section at Bankrate.com.

 

advertisement

Show Bankrate's community sharing policy
          Connect with us
advertisement
CD & INVESTING NEWSLETTER

Learn the latest trends that will help grow your portfolio, plus tips on investing strategies. Delivered weekly.

Ask Dr. Don

How often to compound interest?

Dear Dr. Don, Is it better to have interest compounded on your money daily, monthly or quarterly? Which gives you the most for your money invested? Thanks, -- Jan Juxtapose Dear Jan, With all else being equal, the more... Read more

advertisement
Partner Center
advertisement

Connect with us