Key takeaways
- A joint bank account lets two or more people manage money together. All account holders can access the account to pay shared bills, manage household expenses or work towards shared savings goals.
- There are two main types of joint accounts. ‘Any to sign’ accounts allow any holder to make transactions, while ‘all to sign’ accounts require approval from all account holders.
- Shared access also means shared responsibility. All account holders have equal access to the money and may also share liability for overdrafts, fees or negative activity on the account.
What is a joint bank account?
A joint bank account is a bank account that has two account holders (or sometimes more). Each joint account holder can access the account and use the money in it.
Like other bank accounts, a joint account can take different forms, including:
With most joint accounts, all account holders can withdraw money, withdraw cash, set up direct debits, or use online banking to monitor the money in the account.
Each joint account holder typically receives their own debit card, meaning all holders can spend from the same deposit account while still having individual access.
Joint accounts are commonly used by couples or families who want to:
- Manage household expenses together
- Pay shared bills such as utilities or rent
- Save toward shared financial goals like a house deposit
Even though there are two (or more) account holders, it’s still one account with shared access.
Types of joint accounts: either to sign vs both to sign
When you open a joint account, you’ll usually choose between two different access arrangements. These options determine how transactions can be made from the account.
- All to sign: all account holders have equal access to this type of account, and all will need to authorise transactions and sign for any withdrawals. Each person will be a joint account holder.
- Any to sign: as the name suggests, any of the account holders could access money in the bank account without needing permission from the other account holder.
The only difference between these account types is how approvals work. With an ‘any to sign’ account, any account holder can manage transactions individually, while a ‘all to sign’ account requires agreement from all the money managers before transactions can happen.
Joint account holders can change access levels at any time by signing a new account authority or amending the existing one. However, Westpac will normally cancel “all” authorities for operating the joint account if there is a death, bankruptcy or notified dispute between the account holders.
Benefits of a joint bank account
Opening a joint bank account could offer some practical benefits for people managing money together.
Easier management of shared expenses
A joint transaction account could simplify how you pay bills and track expenses. Instead of transferring money between separate accounts, account holders can contribute funds to the same account and use it for things like rent or mortgage repayments, utilities and internet, groceries, subscriptions or direct debits.
Better visibility over finances
With shared online banking access, all account holders can see the money in the account, including money coming in and spending going out. This visibility can make budgeting easier and help couples or families keep track of household spending.
Work towards savings goals together
A joint savings account could help people save towards shared goals, such as:
- A holiday
- Renovations
- A house deposit
Each account holder can contribute to the account regularly, making it easier to build joint savings faster. Some accounts may also offer bonus interest when certain deposit conditions are met.
Things to consider before opening a joint account
While there are many advantages, there are also important factors to consider before you open a joint account.
In an ‘any to sign’ account, each person can withdraw money, make purchases or move funds without asking the other account holders first. This means each person should feel comfortable with how the account will be used.
It’s also important to know that all account holders are responsible for the account. In worst case scenario situations — such as an overdraft or unpaid fees — all account holders may be responsible for repaying the balance and negative activity may affect the credit records of both account holders.
Understanding each person’s financial situation and how the account will be managed can help avoid potential issues. Having open conversations about finances can help each person stay aligned on expenses, spending, saving, and shared financial goals.
Many people choose to maintain separate accounts alongside a joint bank account to keep some personal spending separate.
How to open a joint bank account with Westpac
Opening a joint bank account with Westpac can be completed online or in a branch, depending on whether both applicants are existing customers.
- Decide which type of joint account you want, such as a joint everyday account or joint savings account.
- Confirm that all applicants meet eligibility requirements (you must have an Australian address and be 14 years and over).
- Gather identification documents (PDF 657KB) for all account holders.
- Apply online or in a branch. You may need to visit a branch to complete identity checks.
- Once approved, the new account will be opened, and the account holders can begin depositing funds.
What you need to apply
To open a joint account, applicants must meet certain eligibility criteria.
Typically, applicants must:
- Be 14 years or older
- Be Australian tax residents
- Provide valid identification
Account holders will also need to gather identification documents. If you’re not an existing Westpac customer, you’ll need one of these ID documents
- Passport
- Australian driver’s licence
- Australian birth certificate
- Medicare card (can only be used in conjunction with a second form of ID).
How to close a joint bank account
If your circumstances change, you may decide to close your joint account. Closing the account typically requires agreement from all account holders.
You’ll need to cancel any direct debits or recurring payments linked to the account and transfer any funds to another account. If your account is overdrawn, you'll need to pay it off before you can close it.
For Westpac joint account holders, you can close your account by contacting us on 132 032 or visiting your local branch. If you’re overseas, please call us on +61 2 9155 7700.
Is a joint bank account right for you?
A joint bank account could be a practical way to manage household expenses, organise shared bills, and work towards shared savings goals.
However, it’s important to consider how the account will be used, how each person will contribute, and how spending decisions will be made.
Taking the time to discuss expectations and understand how joint accounts work could help ensure the account supports each person’s needs.
To sum up
Deciding to open a joint bank account and working together towards a common goal can be an exciting time! There are plenty of bank accounts to help support your needs, from the Choice everyday account with linked debit cards, to Westpac Life joint savings accounts and term deposits.
With a bit of planning and clear communication, a joint bank account could help make shared finances easier to manage. Maybe even fun!
