Love connection: Joint bank accounts prompt romantic partners to spend more wisely, study finds | News | Notre Dame News | University of Notre Dame Skip To Content Skip To Navigation Skip To Search University of Notre Dame Notre Dame News Experts ND in the News Subscribe About Us Home Contact Search Menu Home › News › Love connection: Joint bank accounts prompt romantic partners to spend more wisely, study finds Love connection: Joint bank accounts prompt romantic partners to spend more wisely, study finds Published: January 14, 2019 Author: Shannon Roddel Joint Bank Account Plagued by a splurging spouse? Open a joint bank account.   New research from the University of Notre Dame shows that people who share money from a joint account are less likely to wastefully spend for fear of having to justify the expenses. Those partners will avoid pleasure spending in favor of utilitarian purchases, which are easier to justify.   Emily Garbinsky. Photo by Barbara Johnston/University of Notre Dame. “The Consumption Consequences of Couples Pooling Finances” is forthcoming  in the Journal of Consumer Psychology, from Emily Garbinsky, assistant professor of marketing in Notre Dame’s Mendoza College of Business and Joe Gladstone of University College London.   “We found that this spending pattern was not a one-time occurrence,” Garbinsky says. “People made these decisions over and over, which resulted in thousands of dollars spent.”   Approximately 82 percent of couples in the U.S. maintain at least one joint bank account, and although they have different motivations for pooling their finances, Garbinsky says the need for justification does not appear to be a primary factor.   “Common reasons include convenience and a standard belief about how couples should manage their money,” she says. “We show that although the perceived need to justify spending is not an antecedent of the decision to pool finances, it does represent an important downstream consequence of the decision to pool, which subsequently influences purchase decisions over time.”    The paper consists of five studies — two of which were conducted the Friday before a home football game at Notre Dame. In one experiment, the researchers asked participants who were in romantic relationships whether they had access to both their joint bank account as well as a separate account. If so, they asked the participants to use one of the account cards to buy either a Notre Dame branded beer mug or coffee mug, both of which were on a table in front of them. The results showed that people using their joint account cards were more likely to choose sensibly — opting for the utilitarian coffee mug over the hedonic beer mug.   To show whether the need to justify was, in fact, influencing decisions, the researchers conducted another experiment with romantic partners who had access to both separate and joint accounts. Participants were randomly asked to use one of their two accounts and to imagine that they were shopping for new clothes on a budget. They were given a choice between clothes for social occasions or for work — both with a price tag of $75. After selecting the clothing, participants had to indicate — using a scale of one to seven — to what extent they felt the need to justify their purchase to their partners. Those using a joint account felt a greater need to justify and were more likely to select work clothes.   The researchers then analyzed bank account data of people in romantic relationships over a 12-month period. They found that those with joint accounts spent significantly less on hedonic purchases — including vacations, alcoholic beverages and beauty products — and more on utilitarian items — such as insurance, electricity and gasoline.   “Our findings suggest pooling finances may be one simple way to spend money more responsibly,” Garbinsky says, though she notes that couples should not to let the need to justify spending go too far, which could lead to negative consequences.   Contact:  Emily Garbinsky, 574-631-1163 or egarbins@nd.edu Posted In: Research Home Experts ND in the News Subscribe About Us Related October 05, 2022 Astrophysicists find evidence for the presence of the first stars October 04, 2022 NIH awards $4 million grant to psychologists researching suicide prevention September 29, 2022 Notre Dame, Ukrainian Catholic University launch three new research grants September 27, 2022 Notre Dame, Trinity College Dublin engineers join to advance novel treatment for cystic fibrosis September 22, 2022 Climate-prepared countries are losing ground, latest ND-GAIN index shows For the Media Contact Office of Public Affairs and Communications Notre Dame News 500 Grace Hall Notre Dame, IN 46556 USA Facebook Twitter Instagram YouTube Pinterest © 2022 University of Notre Dame Search Mobile App News Events Visit Accessibility Facebook Twitter Instagram YouTube LinkedIn