Individual vs. Joint Investment Accounts
Non-registered accounts held individually can lead to frozen funds and probate fees, causing financial difficulties for families.
Losing a spouse can be devastating, and losing access to the family's savings can be heartbreaking. For example, a $400,000 investment account can be frozen after a partner passes away, leading to months of waiting for court approval and thousands of dollars in probate fees.
The issue often arises from non-registered investment accounts held in only one spouse's name.
Imagine waking up after your partner passes away, only to discover that a $400,000 investment account is frozen.
This can be avoided by using joint accounts, which can protect a family's finances. By understanding the differences between individual and joint investment accounts, couples can make informed decisions about their financial planning.
Author's summary: Joint accounts protect family finances.
- Non-registered individual accounts can lead to frozen funds
- Probate fees can be costly
- Joint accounts can provide protection for families