Single debt, joint account: and stuff

Gothicfairy

I am hoping someone can help me as I have spoken to the CCCS and they were not sure and google has returned so much I got shell shocked.


I have a credit card debt with my bank ( my debt only for about 2k) but have a joint account with the same bank. My husband has his wages paid into that account and the bills go out of it.

I have been made redundant and am going to struggle to pay my credit card at the same rate so have asked the CCCS to help me and they are going to call back on Thursday for my phone appointment but they did say that my bank might close my current account but the bank tell me that as it is joint they can not touch it.
I am slightly confused..Can I leave the mortgage money in the account and it be safe or can they close it if they think I can not pay the credit card off ?

Most of the other companies have been great and simply be have said they will reduce the payments to £5 per 28 days until I get a new job so that helps no end.

I am up to date with ALL my payments but clearly can not carry on from today as I have no wages coming in so do need the reduced payments from now until I am earning again.

Is there anything else I should be doing ? I have cut down on food etc and have bought my new clothes ( interview stuff) second hand from ebay (no one will know the difference)
I am getting the pet food from a farm shop at a cost price per sack and have canceled SKY.
My mobile is on contract at £35 per month and they will not allow me to reduce it yet but at the moment I need it as I am doing telephone interviews and calling agencies etc but in a month it can go down to the lowest package and if I have not got a job by then I will do that.

I do have a car as I needed it for work and am slightly scared about getting shot now in case I find a new job that means I have to travel again, insurance is paid up so if I keep it on the drive it will not actually cost me anymore from today but if I don't get a new job by end of July then I can still sell it taxed and tested.




I would be grateful for any help and advice

Tixy

Hi

To be totally safe it is recommended you move the joint account to a new bank account that you owe no money to. Its not just that they will close it, its that they will use the money in it to offset against your debts.
There have been instances on here of banks taking money from the joint account to pay an individuals debts.

Is the joint account the only financial connection between you and husband? If it is (ie you don't have a joint mortgage) then it might be worth not opening a joint account but having individual accounts. That way you can file for a notice of disassociation so that any defaults you get as a result of your reduced payments won't also affect his credit rating.

Gothicfairy

Hubby and I have joint mortgage etc and his credit rating is totally shot. It was only because I had a good ( ish) rating that we got the mortgage. He has a CCJ etc

So they really can take the money out of a joint account , wonder why they said it was illegal to do that then. Unless they want me to keep my money with them, but then I do have the name of the person and they are an account manager rather then just a customer services rep on the 0845 number.

Gothicfairy

It is things like this thread that confuses me, as this would seem to say that they can not take from a joint account for a single debt

https://forums.moneysavingexpert.com/discussion/comment/34230271#Comment_34230271

Tixy

I'm not sure if they are supposed to be able to, but I do know people have had this happen to them. Maybe some banks are worse than others.

Tixy

Have a look here
http://forums.moneysavingexpert.com/showpost.html?p=33956273&postcount=184
http://forums.moneysavingexpert.com/showpost.html?p=33419649&postcount=178
http://forums.moneysavingexpert.com/showpost.html?p=22031815&postcount=141

Gothicfairy

Ouch

The first 2 are HSBC so I wonder if they are slightly different ? Mine is with Nationwide and I "think" that as a building society they have different guidelines ( could well be wrong)

Gothicfairy

little bump

DVardysShadow

Gothicfairy wrote: »

Ouch

The first 2 are HSBC so I wonder if they are slightly different ? Mine is with Nationwide and I "think" that as a building society they have different guidelines ( could well be wrong)

I think that the right is just common law - so there are no guidelines.

But from the examples quoted by Tixy, I believe that some of the offsets amount to theft.

RAS

Hi

The worst case I have seen on here was a man who took out an IVA and falsely told his wife it was OK to keep the joint bank account open. The bank then refused to accept the IVA and charged the joint account the full amount of his very large personal debt - over £20K, effectively rendering the wife jointly and severally liable for a debt taken out in her husband's sole name.

There appeared to be nothing she could do to close the account, avert the massive damage to her credit rating or prevent the bank making her pay his debt.

Gothicfairy

I could try and open a new account but there is a small part of me that would like trust what Nationwide say.
I honestly thought there would be some sort of law around making someone else responsible for a debt as it just seems so very wrong.