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Joint Account In Nigeria (Requirements & how to open a joint account?)
Read my post on joint account in Nigeria.
A joint account is like your regular savings or current account that you used to carry out different transactions which include the use of a debit card, checking your bank account balance, requesting your bank statements, and more.
The only specialty about a joint account is that it needs more than one person to operate, it is mostly operated by two or more people who have ownership rights over their account as well as control the account from their ends.
Each individual can get a debit card, make purchases, write checks, fund the account as well as make withdrawals from this same account.
It is advisable that before you open a joint account ensure that you can trust that person to avoid mismanagement of funds or so because you both have the same rights over these accounts
What Is A Joint Account?
Let us properly explain what a joint account means, we can define a joint account as a financial type of account that is controlled and operated by two or more people depending on what instruction you give while creating the account, both parties can carry out banking transactions without any form of limitation.
Although many people are of the mentality that joint accounts are meant for couples alone but this is not true, joint accounts are not limited to couples.
There are cases where different individuals may want to save for particular long-term goals and may decide to go for a joint account
Requirements In Opening A Joint Account
Before you go to open a joint account ensure you and your partners have all the requirements, this is to make the process easier the requirements are listed below
- Passport photographs of all the parties concerned
- Means of identification from all the parties must be valid be it a passport, driver’s license, voters card, and National Identity Card
- Provide a valid utility bill not more than 3 months old
- Reference form
- Resident permit for foreigners or nom Nigerians
- Joint account opening form
- A bio-data that provides all the information needed by the bank about all the parties involved
How To Open A Joint Account
The process of opening a joint account is not something complex or a registration process that you need to stress yourself about.
Just the same procedures you use to open your savings and current account, you can utilize this same process although there might be little differences before starting you need to follow these guidelines
- Firstly, choose any bank of your choice
- Ensure you fulfill the above requirements listed above
- Contact the customer care unit of the bank
- Request for a joint bank account form
- Fill the form together with your other partners
- Provide the necessary information that is needed and submit
In no time, your account number should be provided for you as well as a debit card for all partners involved depending on your request.
Can I Open A Joint Account Online?
Yes, it is possible to open a joint account online but you may still need to physically visit the bank of your choice to submit the downloaded form and make some verification.
Is Joint Account Only For Couples?
No, a joint account is not limited to couples alone, other groups of individuals like business partners, parents and children, and peer groups can also decide to create a joint account
How Much Does It Cost To Create A Joint Account?
There’s no particular cost price to creating a joint account, it all depends on the bank you decide to choose, you can always check their online sites for more information.
Although, certain banks may need you to deposit a certain amount before you can create a joint account and this amount will be in your bank account not as charges for opening an account.
Advantages Of A Joint Bank Account
There are certain advantages you and your partners get to enjoy when you create a joint account and here are some of these advantages
- By using a joint account the parties involved can save a larger amount of money without any limitations involved
- In a case of death, one survival or partner can still have access to the account without any need to present a death certificate or so and also have the ability to retain access
Disadvantages Of Joint Account
Just like the advantages were mentioned above, we all know that for every advantage there are certain disadvantages, and here are a few disadvantages of a joint account
- Lack of privacy is a major problem when it comes to joint accounts because all parties involved can see every single transaction carried out on their account with no form of secrecy
- There is a probability that mismanagement of funds will be carried out by one party
- In a case where the income levels of both parties differ, one partner may feel cheated
Questions To Ask Yourself Before Going For A Joint Account
There are certain questions you need to ask yourself and make sure you have answers to them before you can go for a joint account and will be listing some of these questions
- Is your partner trustworthy?
- Are they free from financial embarrassment?
- What is their financial status?
- Are you comfortable with how joint accounts operate?
- Do you have the ability to verify your account to notice any form of irregularities?
If you can answer this question from the depth of your heart and you feel you are ready then you can proceed to create a joint account with your partners
A joint account has been helpful over the years, especially to those who have been using it for your time and because of the benefits that get to enjoy with the help of a joint account means the requirements and how you can create one.