Post # 1
Yay! FI and I just got our first monetary gift (from his grandparents hehe). We have been planning on opening an account we will both have access to, and put all our monetary gifts there until after the wedding. Does anyone have any suggestion on to whether this should be a checking or a savings account? I was thinking savings because we could earn a little interest over time and then if we needed to take money out of savings, we could just have it linked to both our checking accounts & transfer funds online as needed.
What did you and your FI do?
Post # 3
FI & I have had joint checking & savings for a while now. All monetary gifts are going into our joint savings account which will also act as our wedding fund. Whenever we need to make a wedding payment we’ll transfer over to checkings. This way we know how much is going in and out.
Post # 4
DH and I put monetary gifts in our separate personal checking accounts depending on who the check was made out to. If it had my name on it, it went in my checking account, and checks with DH’s name went into his account. Then we just kept track of how much money we put into each account. We spent most of the monetary gifts on household items, and a little on our honeymoon. But since most monies went in DH’s account, we just transferred a large amount of the funds to our joing savings account where some of it is earning interest. Too bad interest rates keep going down though 🙁
Post # 5
I would say the best way to handle it if you aren’t planning to use the money right away is to put it in a joint savings. At least you will make a little interest. If you for sure aren’t going to use it, you may even consider a 6 month cd (depending on the amount you recieved) and really earn some interest (closer to 4% versus >1% in most cases).
Its a lot more tempting to spend if its your checking accout 😉
Post # 6
Good point about temptation from being a checking account! That certainly applies to me lol
Post # 7
I’m spending the money on furniture right away! I suppose it will go in our joint checking account for a very short period of time, but we have a purpose for spending it–we’re not just planning on adding it to our other money/income.
Check out this thread for some more responses on the subject!
Post # 8
THanks LatteLove! We know that we are definitely putting it away, and I think I’ll go with a savings account. I will check out the other thread to get an idea of what others are earmarkign the $$ for
Post # 9
my fiance and I have a joint checking acct and then each have our own checking/savings… these are all at the same bank and since I handle all the money, I can move things around as necessary 🙂
Post # 10
We are slowly moving to joining everything, but right now we are contributing to a joint savings account where we are putting our downpayment savings. Most of our savings are tied up in his e-Trade account though. I think it’s pretty easy to get a free checking acct. attached to a savings acct, so you may as well do that (we do that, just not much money int he checking acct).
We both continue to have our personal savings and checking acounts for now.
Post # 11
We haven’t joined finances yet (we aren’t married yet), but when we do, we will both be doing the following:
Keeping $400 in the checking account for situations when we need to draw out cash from an atm.
Pay checks are deposited directly into our money market account.
All spending is put on our cash back credit card.
Once a month, pay off credit card balance from money market account.
When money market account reaches $10k, we remove $7k. Half goes into a CD, the other half gets put towards our 401K. (This step takes a while.)
It works for me, and I’m more fiscally responsible, so he’s up for doing this this way too.
Post # 12
I would suggest opening up a joint checking account (with check writing ability and easy deposits) and then moving money from this account to a joint online savings account (ING, etc) since it pays higher interest.
I like the convenience of depositing checks at an ATM (or bank branch), but usually online saving accounts pay more interest even with a low balance. (I don’t think there is a minimum balance at all). That being said, the interest rate isn’t THAT high (it use to be though…), so if you have large sums of cash, you should open a CD or Money Market account.
Post # 13
I would say put it into the ING savings account – they typcially have the highest interest rates. Although, over the past year, my interest rate has dropped dramatically…thank you, recession. But I think a savings account is the best bet – interest and not-so-much temptation!