Should I open a joint bank account with my elderly parents?

Considering a joint bank account with your elderly parents?

Opening up a joint bank account with your parents may seem like a simple solution to help them manage their finances. However, there are also some disadvantages to this.

This infographic highlights the advantages and disadvantages so that you can make the best decision for your family.

Advantages

Ensure their bills are paid on time
Pay for their caregiving expenses
Access to funds when they pass away
Monitor to make sure they aren’t victims of fraud

Disadvantages

Anyone on the account can withdraw money or close account
If anyone declares bankruptcy, the account is considered an asset
If divorce happens, account would be an asset

*Money in a joint account won’t become part of the estate. There can be benefits and disadvantages to this, so it’s best to speak to a professional.