Joint savings account has advantages and disadvantages, know everything before opening the account.

New Delhi. In today's time, a bank account has become very important. From salary to government money, everything comes in the savings account. People also open savings accounts for saving.

Pradhan Mantri Jan Dhan Yojana is also being run by the government to ensure that every citizen of the country has a bank account.

One can open a single account as well as a joint bank account. A joint bank account is slightly different from a single savings account.

If you wish, you can also open an account with your parents or spouse. Apart from this, this account can also be opened with sister, brother or friend.

In a joint savings account, there are two account holders instead of one account holder. In this, two people can save together. Joint bank accounts are also opened for minors to avail the benefits of government schemes.

Benefits of Joint Savings Account

In this, there is shared financial responsibility between both the account holders. For example, if a spouse is saving to build a house, both deposit money in a joint account to achieve this goal. This way, both work together as a team to achieve their financial goals.

Apart from this, it also helps in saving more and more. Actually, many times we deposit money in savings account but withdraw it for small needs.

Whereas in a joint savings account, the amount can be withdrawn only after the approval of both the account holders. Many times joint savings account also helps in bringing financial discipline and strengthening the financial position.

Disadvantages of Joint Savings Account

Talking about the shortcomings of joint savings account, its biggest drawback is money management. Actually, in this, money can be withdrawn from the account only when there is approval from both the account holders. In such a situation, if a person needs money in an emergency, he will not be able to withdraw money from the account.

Apart from this, if one of the two account holders has taken a loan, then the responsibility of repaying it will be on both the account holders. In such a situation, it is very important to understand the risks before opening a joint savings account.

When you open this account, you should also assess the financial position of other account holders. Both the account holders have rights on this account.

In such a situation, if one person is saving more than the other and for some reason the account is closed in the future, then the first person is likely to suffer financial loss.