Advice needed please - joint debt with EX

Kandipandi

Please help if you can I am looking for a bit of advice.

My Ex Husband and I had a joint debt – which was from a (kind of) repossession 14 years ago – we handed the keys back before it got taken from us.
We divorced 8 years ago and had a clean break agreement. The first we heard about this debt was after the divorce and they came to us both separately for the full amount.

I contacted them and asked if they would split the debt in two and we could pay it like that but they wouldn’t – which I understand is correct.
So, forward a few years – we have each been paying this debt monthly and suddenly my ex asked them if they would accept a full and final settlement £1500 – which they did, the total outstanding balance is over £7000. I have just received my review letter and they are stating my new balance as £5500 – which leaves me with £2500 extra debt to pay off.

Is this right – if they can not legally split the debt how can they take a full and final settlement of one party and chase the other for the remainder?

This does not seem fair or right to me, can anyone please advise me?
Thanks for your time and sorry for the length of this post.

ShellyS

First of all, well done to getting to the last stretch of paying it off. Not long now and you'll be free of it

And I'm sure someone will be along here shortly to advise you on this where I cannot, all I can say is I quite agree, seems unfair to me.

Good luck with it! x

CaroleM_3

Sorry, I dont know the answer to this but my first though was, could you ask the citizens advice bureau?

GeorgeUK

As i understand it, a joint debt means you are both liable for the full amount. I do not think it is a case of not being able to split the debt, rather the existing agreement says both of you are liable for the full amount, so why would they reduce their chances of getting it back.

They came to an agreement with you ex, which means that his liability has ended but as you were not part of that agreement, yours has not. It does seem unfair, i agree. Are you in a position to offer a F&F offer as he did?

gizmo111

Surely a F&F should be just that, for the whole debt. I'd ask ex what agreement he came to. They cannot split a debt and choose who pays what.

Kandipandi

Thanks Guys - I am not in a position to offer a F&F settlement to them, I would have to lend it and I dont want to pay interest on a loan when this debt will not have any further interest added on.
I spoke to my ex today and he read me his letter - something along the lines of thank you for your payment of £1500 we accept this as full and final settlement of your outstanding debt. This covers him only I presume.

I think I will have to gather all of my paperwork and pop into CAB. The company I am dealing with is Assett Recoveries - anyone had any dealings with them?

Thanks again guys - this is really chewing me up.

Kandipandi

Just thought - as an aside; this debt was originally with Bradford & Bingley for a shortfall on a mortgage. I was thinking of putting a request in for a copy of original signed credit agreements to verify this debt but as it was for an alleged shortfall between what we paid and what they sold it for one will not exist. Can they enforce this without any sort of signed agreement - or as it is related to a mortgage does it have different rules?
Thanks again.

GeorgeUK

As it was a mortgage this will not be covered by the Consumer Credit Act so no credit agreement to dispute.

Have you tried reclaiming mortgage fees or charges?

Kandipandi

As it was with Bradford & Bingley and they went under I would not be able to would I?

GeorgeUK

I thought Bradford and Bingley were taken over by Santander?
They should still have your records.

Kandipandi

Thanks for that GeorgeUK - I will look into how to do that.