Will Your Partner’s Debts Affect You?
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With many myths associated with marriage and debt, we thought we’d put together a blog post explaining everything you need to know about how your partner’s debt will affect you.
Marriage and debt
It’s commonly believed that when you get married, your credit record will link up with your spouse’s, creating a joint file. This is not the case. Only joint credit will link you and your spouse together, so marriage alone is not enough to impact your credit rating.
Another common myth associated with marriage is that once a partner changes their last name, their credit history is deleted, and their file starts again. This is false – your credit history will remain the same; the only difference to your file will be your new name, which will have been added as an alias. If you have recently got married, you will have to inform your creditors of this name change so that it appears on your file. Only once creditors have updated their information will your credit record change to reflect this.
Joint debts
Whilst marriage is not enough to link you and your partner’s credit files, joint credit applications will make an association between you and your partner. Whether you open up a joint account, apply for a joint credit card or get added to an account with your partner, all of these scenarios will join you and your partner together. While this can be great for couples with a solid financial history, if you or your partner has a background of defaults, it can affect the other’s file.
Even if your joint accounts are up to date and you have no current issue with debts, when you establish a joint account, your partner becomes a financial associate and will be named as such on your file. Creditors may choose to look up your partner’s history, which could affect any future credit applications.
Should you or your partner have a poor credit history, it might be best for you both to keep your finances separate and work on rebuilding the credit file in need.
Secret financial lives
Despite the effect that your partner’s debt can have on your own ability to access loans or services, a surprisingly high number of people fail to discuss their debts with their loved ones. When we conducted research last year into mental health and money problems, we discovered that 80% of people wouldn’t tell their partners about their debts because they were worried about how they would react.
Financial privacy is one thing, but if secret debts threaten the stability of the whole household, then it can be a real issue – and an added strain on a relationship. Before linking your finances with a partner, it is important to know their credit history.
Could you be liable for your partner’s debts?
One thing that scares many people is whether they are personally liable for their partner’s debts. For the most part, you can only be held responsible for debts that are in your name or held jointly in your name – so if you have a shared credit card or bank account with an overdraft, then you should check the balance regularly.
If you and your partner are jointly liable for debts, then that doesn’t mean you owe just half the money. The creditor can demand that you repay the full amount if they can’t get it from the other account holder.
There are some household bills like council tax where you will be considered liable if you’ve been living in the property for a period but for the most part, debts in your partner’s name remain solely their responsibility.
Having said that, if you share a mortgage and your partner is facing bankruptcy then this can have an effect on your stability, although you should be able to protect your half of any equity in the property. The best thing to do is get debt advice as soon as you know there is a problem.
When a partner becomes an ex
There are many reasons why relationships fail, and the stress caused by debt is a common one. However, if your partner has a lot of unpaid debt and moves out, you may find that collectors and bailiffs pursue them at your address. This can be scary, but you need to stand firm and not allow debt recovery professionals to enter your home. Explain that the debts are not yours and that your ex-partner no longer lives at this address.
If creditors continue to chase you for debts that aren’t your responsibility, then you could ask the credit reference agencies to unlink your names from your credit record. However, that will only be possible if you no longer have any financial ties to your ex, including bills and debts in both your names.
Talk to us
If you’re struggling with debt and are worried about telling your partner, or if you’re worried that your partner’s debt situation needs to be addressed, then it’s time to get some informed debt advice.
Our qualified, compassionate advisers have experience in helping both individuals and households deal with their debts and they can help you work out the best solution for your financial difficulties.
Speak to one of our advisers on 0800 316 1833
Comments 91
Hello I broke up with my ex 11 years ago now I am getting calls from debt collectors am refusing to pay his debts I have excelled credit in my own name can they still peruse ?
You are only responsible for your own debts. If you had joint debt you are jointly and severally responsible however.
You need to write to the debt collector and quote CONC about treating customers fairly and not pursuing once they know the debtor no longer lives at that address.
My daughter was overpaid without her knowledge for 5 years. when this was discovered she got an agreement with employer to pay back a small affordable amount each month. Now due to ill health she has given up the post the employer is demanding the amount to be paid in full. Can they do this?
She agreed she was overpaid and made an arrangement with her employer to pay back a small affordable amount each month. This means she has admitted liability but is now not in a position to make the previous affordable payment and, of course, her employers should be aware of this. She should write to them explaining again she has no money to pay them and either offer a token payment if she is receiving any money or ask them to write off the debt. It basically all depends on how long she was repaying them until she fell ill but even if they took her to court she would be able to respond with an offer of a token payment and an explanation of the circumstances.
It is a problem that arises often so also have a look at this – written for employers: http://www.payandbenefitsmagazine.co.uk/article/recovering-overpayments-righting-error
And this from ACAS – look at the information on the 2 year cap: http://www.acas.org.uk/index.aspx?articleid=4125
Unfortunately we cannot really add anything further as this is beyond the remit of this site.
My partner had taking a contact phone out for her mother and now her mother hasnt been paying her phone bill so now it has went to a debt recovery. Will this affect my credit rating?
I have recently got married and have some credit card debt that i am paying more than the min amount per month, however i have an account that i have defaulted on last year because the payments were too high and i was only paying interest off, i made an informal arrangement with the company to make a small payment every month, which i did for sometime, however they sold the debt and to a debt agency and payments stopped and will be getting set back up soon. My worry is that now we want to buy a house and i haven’t fully told my husband about said default and i doubt i will get accepted for a mortgage, i just don’t know how to tell my husband. Is there the option of my husband buying the house in his name alone?
Depending on his income of course there is. It also depends on the size of the deposit. However, start making payments again and you can explain why there was a blip on one of the accounts – the default however, will remain for 6 years from when it was added.
It is better to be upfront about this when applying if you have joint debts however as even if he applied alone if you have any joint debt this will allow the lender to look at your credit record too. There are also specialist mortgage brokers who could look at this where a slight impairment of credit record would not make too much difference. However, interest might be higher.
I would like to go bankrupt, but got married 18months ago, my husband owns a property, my name isn’t on the mortgage or the deeds, we have no joint accounts, if I go bankrupt will it affect my husband and the house?
As long as you have no joint debts such as an overdraft or loan together then it should have no effect on your husband – as you married quite recently and the property is in your husband’s name and presumably was for a long time before you moved in together your beneficial interest in the property is minimal.
hi I have a debt with tax credits over payment this was befor I married they want my husbands income to calculate my repayments.i don’t understand what it has to do with my husband its my debt
It is your debt but you are now in a situation where you are sharing bills with another person. You should explain what proportion of the household bills you pay. If you earn 50% of the joint household income then you should be paying 50% of the bills and they can then work out how much you can pay towards this debt and perhaps others. If he earns more and you less then this is taken into account and by providing a joint income and expenditure he can have his share of the disposable income to pay his separate bills – he does not have to pay your debts.
i earn more than him is wages is a set pay.in my job i can earn more being a community carer my wages fluctuate but is more than his every month
So you have no problem declaring his income as he has a smaller proportion of the total income. You pay more of the household bills.
I’m in love with a man who has financial issues, he was married before but after breaking up with his then wife he couldn’t pay the mortgage anymore and he didn’t have enough time to sell the house. Now the debtor are behind his back for over 5 years now, they’ve tried to block his account several times. He’s currently living on Social help, his wife doesn’t work either. We’ve been together for only 3 months, I’m worried that his financial situation my have a huge impact on your future. He’s a great spender as well which makes me feel like he might not be able to pay up his debts and I might get involved once we decide to live together. We are talking about 300 000 Euros. Initially it was 360 000 Euros. Some years back he made an agreement with the debtors and was asked to pay 100 000 Euros within 6 months, he only managed to raise up 60 000, which made them take him back to the current amount. My question is, why can’t his ex wife pay half of the amount? (They bought this house together). Is this a big financial red flag for me? I have a little son and I wouldn’t want this to have a negative impact to his future. Incase we move in together, can the debtors send auctionares to get the stuff we have? Everything is his, I have my own apartment but afraid of giving it up and moving in with my boyfriend.
First of all I can only comment on the situation in the United Kingdom and as you are talking about Euros I feel that you do not live here.
In the United Kingdom if you have a joint debt you are jointly and severally liable which means that both parties are liable for up to 100% of the debt not 50% each. As this is a mortgage shortfall then they will pursue both. In the UK he could go bankrupt – if he did his then wife would be liable for all of the debt as it would be written off in the bankruptcy.
In the UK also unless you have joint financial obligations then your credit files are completely separate. If you do then creditors will see this and can then look at the partner’s credit file to see if there were any risks lending to the other.
I cannot comment on emotional ties but you do say he is a great spender and is living on benefits which means he does not have a great disposable income.
I am sorry I cannot answer anything further. You need to find out the situation where you are living.
How likely is it that two small payday loans this year will affect mortgage eligibility?
It depends on the lender I suppose. They will want to see how quickly they were repaid – if in fact they have appeared on your credit file – and they may want to know what led to the money being needed. Defaults are more damaging.
My boyfriend is still married but legally separated and now they are finally getting around to the paperwork. Their home is in both names; she’s been paying the mortgage (with roommates) but cannot get a loan in her name alone. She wants him to keep the loan in their name and just keep doing what she’s been doing. My question is will this affect our getting a mortgage on a new home for us?
One other question, what are the rules for alimony? She wants him to keep a Parent loan they took out for their son instead of alimony. Is this a good idea?
I am sorry we are unable to answer questions for cases outside the United Kingdom. Your use of the word alimony and parent loan would suggest you do not live in this jurisdiction. I am sorry.
I left my ex partner 6 years ago. They were in debt and they ran up credit card debts in their name. I am now with my new partner and have a baby. I have received a small claim court summons saying my ex is claiming 9k.
No cards were ever in my name, my credit rating is excellent and I distanced away from cards.
We were not married and no joint account or joint cards.
I’m worried sick. What is the legislation that states if you do not sign anything you are not liable, she’s spent up over last 6 years.
She has to prove that you owed her the money – she has issued the summons so you need to defend it saying you do not owe her any money. If you do not defend it then she will get a default judgment in her favour. Go to http://www.nationaldebtline.org and download their factsheet on defending a claim. There is not space enough here – nor is it a suitable place to discuss this in full – but a local Citizens Advice Bureau would be able to help with disputing a debt.
I have a unpaid mobile phone contact which has now been passed on to a debt collector. I have a informal repayment in place however they have asked me to fill out a financial statement but I’m not sure how to do this. I am a stay at home mum and my partner works full time, we receive working tax credits and a small amount of housing benefit, I do not have an income as such and my partner has given me a sum every month to try and get the bill paid which is the current payment I have in place but I’m lost as to what I put on the financial statement, do I add my partners wages as income and If I o and they ask for more my partner will not be happy as its not his debt. Any advise would be very much appreciated.
I am emailing you an repayment arrangement guide to show you what to do. You can put your husband’s income plus the working tax credits and child benefit and child tax credits which you will be receiving and show you are receiving housing benefit. This shows your family income is not very high and your husband is not expected to pay your debts – especially as you are already repaying at a rate you can afford. I am sending you a copy of our budget and if you fill it in I can look at it for you and check it is in a form the creditors will accept. You should not panic or feel guilty – you are acknowledging and repaying the debt.
My wife took out a loan in her name to repay her mother for wedding which I was told was a gift were separated now and she says I have to pay half is this right
The loan is in her name so in law she is the only one liable. Morally you and she may feel this is different but the law says she is responsible.
I have a huge debt due to an over payment of housing benefit while I was with an ex partner. The bailiffs are asking for my partners wage details but he won’t let me tell them as he has nothing to do with this debt. Do I have to give them his details?
No, they are his details. Who was claiming the housing benefit as if it were in joint names they should also be pursuing your ex partner but they will always go to the easiest first.
If they have entered the property however they can exercise a warrant of control on goods in there and your partner would have to prove they were his. You need to get an arrangement set up.
My partner has a warrent from the county court from a comapny she owes money too. Tbe bailiifs have posted a note saying they knocked with the intention to remove goods to cover costs. Pretty much everything in the house is mine. I bought them years ago and dont have receipts to prove this. Can i write a declaration of ownership and get it signed at the local magistrate’s court to prove the items are mine?
First of all these are county court bailiffs. They have no rights of entry unless they have already been let in. County court bailiffs are easier to deal with but your partner needs to deal with the problem. She has a county court judgment to which she has not responded. She needs to vary the judgment and suspend the warrant using an N245. She can find a fact sheet on this at http://www.nationaldebtline.co.uk I am not sure whether any clerk to the courts can sign such a declaration without proof.
I was told it would cost £25 for either a Solicitor or a Magistrate Judge to sign it, i dont mind paying for it to be done as i would lose more than that if stuff was removed. And yes i will be making sure that my partner gets in contact asap which is hard a she is at Uni full time Mon-Thurs, i am just hoping to cover all bases as i knoe she doesnt deal with confrontation very well and will most likely end up allowing them in. Thanks for the reply i will ring the local magistrates court and speak to the clerks to see if this a viable option.
Many Thankdms again
I am not married. I have lived with my partner for 16 years. We both live at the same address but he is the only name on the deed. We have no joint accounts or bills in both our names. I pay some utilities with my check but the bill is still in his name. The only bill is mobile phone where he has myself and his sister on the account.
If I were to pass away is he liable for my credit card debt?
No, the debt is in your name only – all debts are paid from someone’s estate before any money is distributed to legatees. If there is no estate then the debts go with you. Hope that helps.
Hi me and my partner split up 3 years ago she moved out and has her own rented place I live with our son. We still have a joint mortgage as I am unable to get a mortgage on the house on my own so have to keep her on it for the time being until my finances improve. I have paid the mortgage in full on my own for the passed 3 years. Recently I have seen debt collection letters at her house and wondered as we are linked and have a joint mortgage can they turn up at my house looking for the debt to be paid even though she doesn’t live here anymore but because we still have that joint mortgage?
Thanks
Mark
Are they writing to her at your address or at her own home? If they are at her own home they may not be aware of her previous address but then again they might be as it will be on her credit report. The joint mortgage will appear on both credit reports – is she co-owner of the property as I am assuming. If she is and the creditors go for court action – which they may not do – they could apply for a charge on the jointly owned property. They cannot force a sale but until the debt is repaid they can keep the restriction on it. This could happen even if they agree to payments being made to a CCJ.
I am married and presently we rent. I wish to apply for a mortgage. My husband is older than me and has agreed to protect my future interest the mortgage and deeds will only be in my name. The mortgage will only be issued against my income. If he dies before me do I automatically get the house (he has children from previous marriage) we have no children together. If he needed care can a charge be put against the house. We have nothing in joint names not even the rental agreement.
If the house is in your name and you are paying the mortgage then the property is yours and therefore technically safe unless of course the authorities feel you should be contributing to his care. His children do not inherit your property after their father’s death they can only inherit from his estate.
Hi I’m underdoing separation my still husband got a lot of debt for homeinprovments in his name only the house that we own is paid off I been on benefits for a long time with him on it as well he only got the loans by telling them he is working and earning a lot of money and that what’s not true now we are splitting he told me that his solicitor said I will have to pay half of that debt I’m still on benefits can’t work very ill he is working we had agreed for me to get the house but now he told me cause of all the debts we will have to sell house is in bad way no way house sell will cover his bebt do I have to pay back half off all loans he got in his name only.
You only have to pay back debts that are in joint names. If they are in his name and NOT secured on the property then they are nothing to do with you and you are not liable for them. His solicitor may have suggested this but it is not law unless they are in joint names when you would both be jointly and severally liable – which means you are both liable for up to 100% of the debt not 50/50 each.
He is obviously going to want his share of the property so you do need to get legal advice yourself.
Hello, I am hoping you can help. I have been with my partner for 6 years. Before we started our relationship my partner ran up a lot of debt. I believe he took out a bank loan of over £20k, and then was unable to keep up repayments, and so took out another loan to try and pay off the first… Unfortunately he was unable to keep up the repayment on the second loan too… Due to this he is unable to open a bank account or have any debit cards at all; because of this his wages come into one of my bank accounts every month, and he uses one of my debit cards linked to the account with his wages in. He has not run up any debts at all since we have been together. All of my bank accounts, mobile phone, broadband contracts, and any direct debit payments are all set up in my name and nothing at all has his name jointly on – this will continue to be the case even after we are married, I am keeping everything in my name solely. My concern is that we are soon to be married and I worry that his past debts will have an impact on my credit score and prevent me from taking out any loans or credit purchases should I wish to once we are married. I am also very concerned that debtors might come after me once we marry. We currently live at separate addresses (in council properties), and will move into my home after the wedding. Please could you advise if I will become liable for my future spouse’s past debts? Thank you greatly.
I can reassure you that you are not liable for your future husband’s debts. You are only liable for debts in joint names, those that are joint by law such as council tax and if you act as a guarantor. If he is living at the same address that will be on the credit file but only joint debts appear on both.
He will appear on the electoral roll so that will appear on his credit file but it should not affect any application for credit that you make as long as you satisfy the lender’s criteria. You can also put a note on your credit file explaining the sole link is the fact he lives there.
Hi I have a debt of a car I bought on finance and I broke up with my wife and I left the house, the car and th finance is only on my name, and I don’t have anything with her, if debt collector goes to her house they can do something? They can collect her things ? What should I do o what she can do? Thanks
Debt collectors cannot take anything from her and she just needs to inform them you no longer live there. If it goes to court and you have not let them know your new address as they can issue a claim form to your last known address and get a judgment at the amount they want if you do not respond, then if they pass the debt to enforcement officer (eg bailiffs) then they can come round and she would tell them the same thing. However, if they decide to escalate the debt to the High Court and send their enforcement officers they will want to see proof that she owns things. You need to let the car finance people know – as you should also have registered the car to a new address.
I have been living with my partner for nearly 15 years. He is self employed but work has been getting bad over the past couple of years and I know he has been borrowing money from credit cards to keep a float. Although everything is in my name (that’s how its always been due to me having a house to sell when first got e, and he didn’t) I am concerned that this situation is getting out of hand and he soon wont be able to pay back a loan and debt on a credit card. His pride wont allow him to seek help, and in view of that, I am now concerned what will happen to me if he fails to pay back his debt and keeps borrowing?
Eventually he will not be able to repay the credit cards and as long as they are in his name only and not a second borrower on yours this should not affect you – however, if he starts getting court judgments and not responding to these he could end up getting visits from enforcement agents. Do you own a house together or do you rent or you own one in your own name – has he used you as a guarantor for the loan? There are lots of variables you see. Borrowing when business is bad unless one is certain it is a temporary blip is always going to be risky.
My ex wife wants me to pay half of her credit card that is only in her name. I previously agreed as a guesture of good will as I was in a better financial position than she was. She has now returned to work and is being paid more than me. I now have a new family with 2 small young children. My financial position has changed that if I was to pay off her debt I wouldn’t be able to feed my children. She’s threatening to take me to court and issuing me with a ccj.
The credit card debt is in her name so they will pursue her. She can take a CCJ out against you but you would be given the opportunity to defend and explain that it is not your debt.
Hi. My husband left me last year. I still live at the same address, sill legally married but separated for 9months. Since he left I’ve changed all utilities on my name, a new rent agreement on my name, he’s out of the council (he is stated at a new address). Now the problem is since then he kept doing loans and credit cards and Parking tickets. Everything comes on my address, even though he doesn’t live here he did everything using my address (which is false information given to banks etc). Now the problem is since everybody is sending notifications at my address for him to pay, the last one was a court notification and I should expect bailiffs at my door for possessions because he hasn’t paid. What can I do in this situation? We don’t have a joint account, we’ve been financially disassociated, he doesn’t have anything in here. All furniture and everything is 3 years old and I don’t have any receipts for them so I can’t prove their mine. How can I deal
With them and what can I do in this situation? As far as I know I can’t be liable for his debts because they come in his name but being married still Makes me scared, people will try to take my things. Could you please help me with an advice on this matter ?thank you very much
I am sorry not to have replied earlier but the site has been having some glitches and I have found several notes today!
You are not liable for his debts – you need to write to the creditors saying he no longer lives at this address and has not for several months and you have rental agreements etc to prove this. If enforcement officers do come to your door you just show them this information – the fact that you are married does not mean you are liable. If you know his new address I would suggest you let the court and any creditor know. The fact you have proof he does not live there is fantastic.
I have a water bill debt (mainly due to a leak landlord wouldn’t fix) but it’s my previous address I lived as a single person. I now live with my partner and they want to pursue him to pay my debt. They can’t can they???
No, they cannot unless he was on the rental agreement at the previous address. He is not liable for your debts.
My ex partner has moved out-everything has always been in my name because he has never had a good credit history- he refuses to update his bank details and driving licence to tefl by his new address and has been using my address details from these to gain credit. I have spoken to his bank and as far as they are concerned he has validated his address for the credit despite me telling them he doesn’t live at my address. What can I do to raise awar ness of what he’s doing a protect myself from any association?
You need to put a notice of disassociation on ALL your credit files as this is what they are checking to validate he lives there. Hopefully now all the bills are in your name – if anything is still in joint names it will show an association on the credit file which is what creditors check. Why does the bank still think he lives with you? – supply them with his new address. I take it he is not on the electoral roll any longer as you can update that and that goes on credit files too. I believe you can update online now too!
I have a very similar situation, my boyfriend moved in over a year ago, he is 59, disabled and has no credit! His only credit card is Vanquis 34% and is full all the time (£300). When I ask him why his credit is so low he keeps saying it is improving… and never talks about his real situation. I think it is not fair on me, if there is a problem I need to know, though I pay all the utility bills and council tax, the only joint account we have – he is a second driver for both his and mine cars, as it is much cheaper. He is on a benefit now, and spending some money on his youngest son, so I cannot say or do anything. I have the right to know how bad his situation is. He had a loan and is paying it off now, but it was in his former wife’s name! I am sort of quite confident I am not liable for any of his debts, but if he has a car accident it will be my claim, though I have a “no claim protection”…. and my 10 years no claim are maximum and cannot go up. Very stressful!
You are not liable for any of his debts unless they are in your or in joint names. It must be frustrating for you but he does not have to tell you – however, you have the right for him to put some support into the household too!
Hi Jane. I posted on April 28, 2018 at 12:20 pm and you kindly responded. In answer to you questions, the mortgage is in my name, and his debt is in his name only. I am assuming that as long as it remains this way (which it will) I am protected if his financial situation gets further out of hand? I am getting really worried because he pays me x amount every month which is worked out based half of the mortgage repayments, council tax, water and all utilities, and in effect is rent money. If I did not receive this I would not be able to afford to cover the money he gives me and pay my half as well, and fear I will either get in financial difficulties or worst case scenario, have to sell my house. I just can’t get through to him, I don’t know if its a case of he just doesn’t care or he just isn’t facing up to the reality of the situation.
Hi Tracy – I suppose a lot depends on how long he can afford to pay you rent and whether you could keep the property going without his contribution. They cannot touch the property if it is in your name but you need to pay the mortgage to protect it. You need to tell him this as you need an income from him to maintain the property. I am sorry to say this but it looks as if you depend on his income to cover the household bills and if he is paying half the mortgage he is building up beneficial interest in the property. He needs to be made aware – he is not a lodger, he is your partner and cannot avoid responsibilities he holds.
My husband and I are still living together but seperated. He has his life and I have mine. The thing is we have joint accounts and I want to have no part of his. Can I take my name off and have no further responsibility if there is are any overdrafts or debts especially in the case of his death
Hello Sarah – you need to contact the bank to explain the situation . It is unlikely they would allow you to separate the accounts without both permissions and extremely unlikely if the accounts are overdrawn. You are not liable for any debts in his sole name but anything that is in joint names you are both jointly and severally liable for. In this case you are both liable for up to 100% of the debt not 50% each.
My current girlfriend has IVA’s and is making the payments despite being a single mum , we would like to get married in the future but she is worried the debt company would take my wages into account to make her/us pay off the debt sooner. Is this the case or as it’s her debt from before we even met would I then be held responsible for them?
The supervisor will want to see that you are making a contribution to the household. Where will you be living? If in her property then her expenses would go down as you would be expected to make your fair share of payments into the household. If it is the other way round then she will also be expected to pay her fair share. You are not expected to pay her debts but they expect to see some changes as her circumstances have changed and she has a duty to let her supervisor know this. If you earn 50/50 then you would be expected to pay 50% of rent etc. If she is in an individual voluntary arrangement she is in a legally binding arrangement that usually lasts for 5 years if she is living in rented accommodation. Your girlfriend should speak to the supervisor of her arrangement.
I have 1 year left on my DMP and have been trying to encourage my partner to call you about her debts. We are cohabiting but have no joint debts. We pay our own bills and the only joint named account is the council tax.
All her previous debt is from before we met but she is concerned I’ll have to pay towards her debts.
How are joint earnings taken into account for her debts?
It depends on how your DMP is set up. If you are counting her income towards household expenses then she would need to get a budget together which reflected this. What she cannot do is say she is paying all the bills and thus has a small disposable income. Basically when a couple is cohabiting or married each should pay into the household in proportion to what they earn. Who pays the rent/mortgage, electricity, water, telephone etc – as you can see there is not only one joint debt. However, our trained advisers are well used to these situations but the joint address will flag up you are living together. It may be that another solution is better for her. Everything she tells us will be treated in the strictest confidence
Hello,
I would be grateful of any advice you could give me.i apologise for how long winded this is.
I own my own home outright with no mortgage. I’m on benefit due to long term disability. My boyfriend lives in rented accommodation and has mentioned about moving in with me. He has said he would pay me what I needed for the bills. Or there is the option he could become my carer and I stay on benefits.
I am aware he has debts of at least £7.500 one from a mortgage where he has told me he gave his wages to his partner to pay the mortgage he thought she was paying it but found that this wasn’t the case, he told me he went to court and he lost his home, however this was over 13 years ago and I’m surprised they are still chasing him for the money. He set up a payment each month for it but hasnt been paying it. The other is for £2.500 which he is not aware I know about and is for a place he rented. His post goes to his ex wife he has told me the reason it goes there is because he does not have a letter box which is true. The credit companies both send letters to his ex wife’s house
If he moves into my property is he able to take out a mortgage on my property without my knowledge? or able to take out credit and then I’m liable for it if we ever split up, as my credit score is perfect.
He could only do this if he committed fraud which is a criminal offence. You could however set up a deed of trust which makes it very clear you and you alone own the property. I would suggest you speak to a solicitor as you are obviously concerned.
Hello,
My ex-partner signed our 1 year old daughter into a local nursery without my knowledge. She didn’t pay the final bill and now they have found my address etc and are chasing me for the debt saying i am liable for the debt also. Is this correct as i was unaware and did not sign her up?
My husband bought our current house before we were married. We are now looking at selling this to buy a bigger house in a joint name. I have some personal debt of approx £5K which he isn’t aware of. Will this affect our application?
It might as they will check credit files to see whether a new mortgage is affordable. If your income well covers the debt it should not be a problem depending on how much mortgage you want to raise. They have to check today to see that all borrowings are covered and do not strain he household finances too much
I have a joint mortgage with my partner we are not married we share the household bills and mortgage payments. Will it affect his credit if I use payplan to clear my debt I’m struggling with this debt which has nothing to do with him
If you have a joint mortgage and are having no problems paying your share of this then a debt management plan will not affect this. However, as you have a joint mortgage that will be reflected on your credit file which will show a link so a creditor could check your file if your partner applies for further credit or indeed you both look for a higher joint mortgage. However, being in a Payplan arrangement is far better than being late with payments and getting defaults which could also affect him as you have this joint association with the mortgage. Your details do not appear on his file but the joint mortgage does.
Hi, my husband left the house 4 months ago and has moved abroad. We are now half way through divorce papers. I have been receiving letters from the credit card company that they will reduce his credit limit as he hasn’t been paying and he has to pay. I know don’t have to pay as it is not a joint account and the bills are on my name only. What would I need to do? He doesn’t replay to my messages and I don’t know if I should tell the bank that he doesn’t live here, I don’t want to get him into more trouble. I will move out soon, this is a rented accomodation.
Hello Sheilla I am also going to email this response to you as we are having problems with responses appearing quickly here.
I would send the letters from the credit card company to his new address and let him know that you will be returning any correspondence to them in the future as not known at this address. It is not your debt and you are not responsible for it. Is his name still on the electoral roll at your address?
Hi my partner has a lot of debt. He ran away from nearly 100k of debt with his ex wife. He changed his name so they couldn’t find him! He has now run up more debt since, which he is actually paying back. My worry is that he’s moving in with me soon and we are due to get married, is there a chance they can still come after him for the 100k and if bailiffs every came to my house would they be able to take my possessions? I’m quite nervous about it. Many thanks
Hello – the first thing to be aware of is that you are not responsible for his debts. You say he is able to repay his debts – is he in an arrangement to pay them back? I would keep your finances separate. You say he is moving in with you – do you own your own property or are you renting. If you own your own property then I would ensure that you had a deed of trust set up to show that it is yours. If it is more than 6 years since he last made payments to his previous debts and has not acknowledged them in writing and the creditors have not gone for legal action in that period then the debts would be statute barred which means the creditors cannot pursue him through the courts which is the only time bailiffs would come to the door – it if he had a court judgment and had defaulted on it.
With the current debts, once he provides your address to the creditors then if you have any joint debts – eg a rental agreement – then they can see your credit file also but his debts would not appear on your credit file. If he is repaying them, he would have to let them know of his new address.
Bailiffs – or enforcement officers as they are now known – cannot take your possessions but you may need to be able to prove they belong to you. With cars etc it is simple and they cannot take basic household items anyway.
I hope this is of help.
I am also emailing this to you in case the problems we are having with this site are continuing.
Hi, my fiancé and I bought a house together in June 2017. I found out a couple of weeks ago that he agreed to be someone’s guarantor for an Amigo loan in Nov 17, a few months after buying our home (the repayment period of this loan is 48 months). If the person doesn’t pay the loan back, will it affect our mortgage?
It will not affect your joint mortgage. However, if this person does not pay the debt back then your fiancé is jointly and severally liable for this debt. What this means is that they will chase him for the money and if he does not pay it then they could start recovery action from him – this could lead to a county court judgment and they could try to secure the debt by means of a charging order on your jointly owned property. If you own it jointly it will be a restriction as opposed to a full charge. This means it would be difficult to sell unless the charge is removed.
Incidentally bailiffs or enforcement agents can only be sent if a County Court Judgment has been issued and not adhered to.
Hi. My husband is planning to buy a house/flat in his own name, which I’m against as I don’t feel this is right for us at the moment. I am a worried as he is not good with money and has since he met me spent the last three years getting debt free. His credit rating is now very good, however he is a contractor and goes from job to job and don’t have a fixed/stable income. We don’t have any joint accounts and the house we live in is in my name only. My questions are:
Will he be able to buy a house by himself when he doesn’t have a fixed income?
Can he buy a house without my consent?
If he buys it, and he doesn’t keep up his payments, will I be liable for them?
If we ever separated, will I have to pay in case he doesn’t keep up his payments?
Thanks
If he buys a house or flat in his own name and your name is not on the deeds or the mortgage then it is his debt and you are not liable for any of it. The problem may arise if you need his income to pay the mortgage on the property in your name as if his income drops then you might be at risk of losing yours unless you can pay it all again. He may be able to buy a property in his name – however, getting a mortgage is not easy today and if he is only just debt free the lender may not be agreeable but of course he does not need your permission to buy a property in the same way as you would not need his to buy anything you wanted.
hi, my partner has recently moved in with me, he has previous debts and is currently having more financial difficulties. the mortgage and deeds for the property are in my name, the only thing his name is attached to is the council tax. if my partner takes out new debts while in my property and doesn’t pay them can this result in my property having ccjs or be “black listed”? my credit rating is good and all my payments are up to date.
I would really appreciate input on this, thank you
His credit rating has nothing to do with you and his information does not appear on your credit report unless you have joint debts.
However, if the council tax is joint and so you have the same address, this may mean that creditors can check the other person’s credit file. Therefore it MAY affect any application for credit you make in the future so you should make it clear on your report that there is no financial link between you bar the council tax – and that does not usually appear on reports. Addresses do though.
I split up with my ex about 10 years ago. We were not married. We had a joint mortgage (interest only) for two years and in that time the house didn’t increase in value. When we split ten years ago I removed his name from the mortgage. Fast forward to now. He’s recently got into debt and owes unpaid tax as well as child maintenance arrears. He’s considered bankruptcy but is telling me that if he does the debt will be collected from the mortgage he had jointly with me ten years ago. This is obviously causing me a lot of stress. Please reassure me that this wouldn’t happen surely.
If you removed his name from the mortgage did it also get removed from the deeds? This is important as if his name is still on the deeds to the property he is technically entitled to half of the equity – HOWEVER, the Trustee will look at the situation and do something called Equitable Accounting which will look at what you have paid in alone plus a token amount for “rent” as you have not allowed him to live there. We know that is not the case but this is how they look at it – work on 50% and then what has been paid etc etc. I do hope he is not still on the deeds though.
Partner moved out 7 years ago. I am paying his creditors. I think he is about to receive some inheritance money. If he refuses to tell his creditors and they find out he has disposibal income, can they make us sell the house. We have a joint mortgage.
Thank you for your question.
Why are you paying his creditors as if they are not in your name, then you are not obliged to as they will chase him?
The worst thing a creditor could do – if they are owed more than £5,000 – is file for his bankruptcy if they wished to – it is unlikely however. If they did the house could be sold if you could not buy out his beneficial interest but you would retain your share of any proceeds.
Creditors can go for CCJs at any time if a person is not making the full contractual payment and they have issued a default notice. Then, even if they agree to the amount being paid – as one can respond to say what they can afford- they could file for a charging order against the property. If it is jointly owned then they cannot force a sale but they can put a restriction on at the land registry which would mean they would know when the property was sold and could chase him for the money he owes them from his share.
How would they know he is coming into an inheritance unless they were made aware, though?
My partner has unfortunately been ill and will not be able to work until she fully recovers in possibly 12 months . She was self employed and currently has no income coming in. I have been paying her car payments for the last few months. She has now shared with me that she has a large amount of unsecured debts which her creditors are now chasing after initially freezing interest.This has come as a huge shock to me, she has lived in the house since I purchased it. The mortgage and all bills are in my name and I have always paid them , she is however on the council tax bill but I pay it. She is thinking of going into debt management because she has no income coming in . Will this affect my credit in any way ? Also will I have to pay any of her debt ? . I am worried that I will get creditors calling at the house . What advice can you offer?.
Hello Tony, her credit does not appear on your credit file. The only thing that would affect it is if you have any joint debt. You say the mortgage and bills are all in your name so I am assuming the house is in your name. However if she is on the register of electors then she will appear on your credit report. If she has no money coming in, how can she look at debt management – she does not have any income to pay them. There may be other solutions so she should give us a call on 0800 2802816 or she could look at the website http://www.payplan.com and try PlanFinder.
My husband is on an IVA due to masses amount of debt he has accumulated again through gambling (nothing in my name) he has already gone through bankruptcy, I have paid previous loans etc off for him I have now found out he has missed 2 payments to his IVA company . I’m worried now that the IVA company can come and take my car , tv, furniture which I have bought , I don’t have receipts to prove such . My home is rented , majority of bills are in my name , I have given him a debit card that is associated to a bank account I have in my name where his pension is paid , I then transfer money back to his personal bank account so he can pay his commitments every month. Can you please advise do I need to take any legal steps to protect my self .
Hello. I am sorry to hear this. If he is in an IVA it is dealing with his debts, not yours. They cannot take things that are in your name unless they have been listed as his assets in the IVA. I hope that helps. It is unlikely his IVA will fail after 2 missed payments but he does have to get in touch with his supervisor at the insolvency practitioners to let them know so he can get back up to date.
BOUGHT MY HOUSE IN 1999 IN MY NAME ONLY. GOT MARRIED IN 2003. WIFE AND I ALWAYS HAD SEPARATE FINANCIAL LIFE – SEPARATE BANK ACCOUNTS AND DEBTS. GOT 3 KIDS (ALL £50K) debts she is struggling with right now.
IF SHE WERE TO GO BANKRUPT- WOULD THE OFFICIAL RECEIVER LOOK INTO AS SHE IS HAVING AN BENEFICIAL INTEREST IN MY HOUSE??
Hello
If she were to go bankrupt then the Official Receiver would assume she had a beneficial interest in the property unless you can prove otherwise. You bought the house before you got married and I assume you were not together then but youdo have three children together and although you may have kept separate bank accounts and debt you would need to prove she has not contributed to the household at all – and that includes household bills, food for the family etc. If you dispute what the OfficialReceiver decides then it will be up to them to decide how much beneficial interest she has – this is not something we can go into here and you would need more specialist advice. If you contact one of our trained advisers on 0800 316 1833 then they would be able to look at things in more detail and see whether there were any other options and looking at a household income and expenditurehow much she contributes to the household etc. You are not, however, responsible for her debts.
Hi, It has come to my attention, my husband has accumulated debts to the sum of twelve thousand pounds. Apparently he has three thousand debt before our relationship started. Two years ago we needed a new car. he has put more debt on the recent credit card. His salary has been less in the past five years, since his redundancy, and he has disclosed that he has depended on his card towards the end of the month, to keep him afloat. I feel deflated because, several occasions throughout our relationship, he has denied debt issues.
Basically , he has had to admit to his issue when i had a arranged to get a joint bank account, as we have just got married, last sept 2019, we have been together for a long time. i feel deflated and betrayed. although more importantly, what would you suggest, as his dept is spread over four credit cards?
Hello Mandy
The first thing to say is that you are not responsible for his debts except for any that may be in joint names. You do not say whether you live in rented or mortgaged accommodation or whether he is actuallydoing anything about trying to repay the debts or is he up to date with minimum payments. We cannot answer in full here but if you call 0800 316 1833 then one of our trained advisers will be able to offer more advice. You can also contact us on the web.
Hope that is of help.
Jane
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