“Hi Money Minder,”
Hey there Money Minder! My name is Budget Buddy, and I recently tied the knot with my wife. We’re ready to join our finances and make some smart money moves. Right now, I’m rocking a checking account and a hysa at my credit union, while my wife has her own checking and hysa at Discover. Our plan is to use my credit union for checking and her Discover hysa for savings since it offers better rates. What do you think?
Oh, and when it comes to credit cards, I’ve got a lone Discover card, while she’s got a Discover and a Visa. We thought about hopping onto the same Discover card together, with me becoming an authorized user on her Visa. But I’ve heard some buzz about not merging credit cards after marriage. Any idea why? Should we keep our separate Discover cards even if they’re identical? We’re all about simplicity when it comes to tracking our money, so we’re leaning towards combining everything.
Looking forward to your expert advice! Thanks a bunch!
Budget Buddy, out!
Response from THE MONEY MINDER:
Hello There,
Congratulations on your recent marriage! It’s great that you and your wife are looking to combine your finances and work together towards your financial goals. In terms of using your credit union for checking and her Discover HYSA for saving, that sounds like a practical plan. Since her Discover account offers better rates for savings, utilizing that account for your joint savings can help maximize your returns.
Regarding the credit cards, it’s generally recommended not to combine credit cards after marriage due to potential credit implications. By becoming an authorized user on her Visa, you might impact your credit score if her utilization ratio is high or if she misses payments. Keeping your separate Discover cards does provide some credit independence, and using a shared budgeting tool can still help track spending efficiently without combining credit lines.
In terms of tracking your finances and spending, consider using a joint budgeting app or tool where you can link all your accounts and monitor transactions in one place. This can provide a comprehensive view of your combined finances while maintaining individual credit cards for credit history purposes.
Remember, communication is key when managing shared finances. Regularly reviewing your financial situation, setting mutual goals, and discussing any concerns can help ensure you are both on the same page when it comes to money matters. Congratulations again on this exciting new chapter in your life, and feel free to reach out if you have any more financial questions or concerns.
Best Regards,
THE MONEY MINDER
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