Advice on balance transfer and Mortgage issues please?

Vixxx_2

Hello,

I am looking for advice on 2 money issues.

My first is:

I own a house with my ex boyfriend that we currently rent out. He did not pay his part of the Mortgage for a year, so I was paying partial payments. We have been renting it out now for over a year, but the rent has not been topped up to match the difference between that and the Mortgage. Due to this, I have Mortgage arrears leading to a poor credit rating. We have a Together Mortgage and have arrears of over £11K on the loan section.

My ex boyfriend now wants out of this situation (I did 2 years ago, but he would not sell). He is saying that either, I take on the house and he will give me half the shortfall (house is worth about £140 now and we owe £175K Inc arrears) or I give him half the short fall and he will take it on. I am not in a position to give him £17.5K. I would rent the house out.

Is it possible for my partner to take the house on with me? He earns enough to come in with me, but he wants to buy his own house for us to live in, so I would rent this one out.
How would this work?
Would I be making the right decision if I (could) did do this?

The second issue is:

I have approx £3’300 on 3 credit cards and an overdraft. I am not making any headway in reducing these because the APR is high.

I cannot get a loan or a 0% interest free credit card to balance transfer.

My partner is willing to take out a 0% interest free credit card for me so that I can pay off my debt monthly. This is the only option we can think of to get me out of this situation.

I have a few questions on this.

1) Is it actually possible for my partner to take out a 0% credit card (he had a good credit rating) and balance transfer my debt?
2) How will this affect his credit rating? I will pay £200 per month with out fail.
3) He is going to apply for a mortgage (on his own due to my credit issues), should we wait until this has been applied for?

Any help you could give me on theses issues would be greatly appreciated. These are causing me sleepless nights L

Thanks.

Rob71

Hi Vixxx...

I'll start with the card debt first: there's nothing stopping your partner from paying off your debt using a 0% card - he should be able to balance transfer the amount, but failing that he could use a money transfer into a current account and pay the debt that way (the money transfer will still be 0% - best to check the specifics on the card he wants to use).

Should he get a mortgage before or after? Not sure what to suggest. From your point of view the sooner your debt is sorted the better...

As for your mortgage, that sounds like a right old mess. Not sure the bank will let you sell it all the time you have arrears on it. I went through something similar some time ago and the bank wouldn't even let me remove my partners name off the deeds/mortgage account all the time there was outstanding arrears.

At the very least he has an obligation to pay his share of the debt - I'm not sure how you'd pursue this though. Get him to pay what he will off the debt, once the arrears are cleared then get it transferred into your sole name. If your partner is prepared to help with this (and speed the arrears repayment) then good - don't put his name on the account/deeds, since that'll mess up getting a place together.

Hope that helps a bit- you might get more help with the mortgage issue if you post in the mortgage forum. It'd be good to get more feedback from the people lurking in there.