What Happens If.....

Intoodeep

You have a joint mortgage, with your EX (and then you are living with relatives, and have done so for 5 years), then either of you get into financial dire straits, would the creditors be able to kick out the other half & child in pursuit of their moneys, ie. would the house have to be sold ?

Broken_hearted

If the morgage isn't paid then the bank will most likely reposses it.

Broken_hearted

You will have to explain more as it's not clear from your post what the problem is.

rchddap1

I'm afraid that if one of the people couldn't pay the mortgage company would chase the other party for the money. And if they were unable to pay repossession proceedings would commence.

MrsTinks

If you have an EX and they are living in the house for 5 years then why would you still have a joint mortgage?
But yep if the mortgage ain't paid then the mortgage people rarely care who is living in the property, unless they are tenants in which case certain laws apply in accordance with their tenency agreement....
Both people in the joint mortgage would have their credit file affected too btw if the house was repossessed...

Apple_2

If the mortgage isn't being paid the secured lender would go after the people who mortgaged ( you and the ex ) to get back on track/pay off arrears. If either or/both of you can't the lender would go through the Courts to repossess/sell. Alternatively you and the ex could sell first ( if you can delay proceedings long enough ). If the loan ie mortgage is in the names of both you and the ex, you are liable for full repayment/penalties and they'll look to you both to repay any shortfall after sale.

Intoodeep

Sorry didn't explain very well

My ex & child live in the house, I pay ALL the bills, I could well have a problem in the future with credit cards, so if I defaulted on the CC's would the CC Companies be able to force the sale of the house ( in the extremest situation )

Apple_2

Intoodeep - yes, but may not happen. I'm no expert - you need Cab/CCCS/Nat Debtline advise. The last year I've learnt a lot about debt I never previously knew. First off there's no such thing as unsecured debt if you've got property. It may have been unsecured when you took it out but there's legal channels a lender CAN go down to get a charging order and forced sale. I said CAN not WILL. It depends on the creditor, whether you come to any arrangements with them, and v important, whether there's equity in the property. But from everything I've heard, unsecured creditors are getting very active in viewing property equity as a way of getting their money back. MyO/H's creditors ( c/cards & unsecured loans ) all said they were doing Land Reg searches on our home, I assume they did, but I owned it not him.

Talk to one of the debt help people ( CCCS/Payplan?) to plan ahead for when/if you do default. Good Luck.