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joint loan when getting divorced - i cant afford it
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graciebelle
Posts: 9 Forumite
in Loans
We seperated 22 months ago.
WE had a joint loan, with payments of £400 per month. Since we seperated he paid them. He said he would always pay it.
I work part time, look after the child and the dog. My wage is low and i am in receipt of housing benefit and council tax benefit.
We are not as yet divorced and procedings cannot be sorted as they is no legal aid avalaible at the momment. I cannot afford solicitors bills. So will need to wait until the service is reinstated.
He called me up the other week and said from Jan he is only going to pay half the debt, and i have to find the other half £200, !!!! or bust.
I do not have, nor will have for the forseeable future, this amount of money spare. I cannot cut back any more. If i work more hours, i lose out in benefits. So im pretty much stuck.
I have not as yet spoken to the bank, but he told me they refuse to freeze payments while we sort it out with a solicotor, they wont half the loan, 50% to him 50% to me and they wont lower the monthly repayments.
I dont really know what my options are and am hoping someone can talk me through what i can ask of the bank, or solicitor when i finally get one.
thanks
WE had a joint loan, with payments of £400 per month. Since we seperated he paid them. He said he would always pay it.
I work part time, look after the child and the dog. My wage is low and i am in receipt of housing benefit and council tax benefit.
We are not as yet divorced and procedings cannot be sorted as they is no legal aid avalaible at the momment. I cannot afford solicitors bills. So will need to wait until the service is reinstated.
He called me up the other week and said from Jan he is only going to pay half the debt, and i have to find the other half £200, !!!! or bust.
I do not have, nor will have for the forseeable future, this amount of money spare. I cannot cut back any more. If i work more hours, i lose out in benefits. So im pretty much stuck.
I have not as yet spoken to the bank, but he told me they refuse to freeze payments while we sort it out with a solicotor, they wont half the loan, 50% to him 50% to me and they wont lower the monthly repayments.
I dont really know what my options are and am hoping someone can talk me through what i can ask of the bank, or solicitor when i finally get one.
thanks
0
Comments
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As you are seperated you can negotiate your own reduced payment plan with the bank based on your income/expenditure, they will then contact him to set up his own arrangement if he hadn't done so already.
Do you have any other debts?Total 'Failed Business' Debt £29,043
Que sera, sera.0 -
Even though its in joint names?
He said that wasnt possible. Though he lies constantally. So i cant trust what he says.
I wanted to find out where i stood and what was possible before i spoke to them.
Yes. i do have other debts which i am also paying off.0 -
tell him you can't and remind him it will knacker his credit rating too so he won't be able to get a mortgage/ new car/ credit card/ mobile contract for 6 years?Debt free 4th April 2007.
New house. Bigger mortgage. MFWB after I have my buffer cash in place.0 -
Ive said that, he said it is my responsibility to sort it out.
I just really dont know what to do. I could afford to pay £50 a month maximum, but he said no, its £200 and i have to find the money. I havent got it, and cant get it. Its just impossible.
It is a joint loan and the montly repayments were set while we were still married and in very very different circumstances. It was a consoladation loan.
Im going to speak to the bank ,,myself on tuesday. Im sure they will accept lower payments. Its not ideal, and its going to take even longer to pay it off. But i dont see what else i can do about it.
He earns about £32000 and i earn £8500.
I supose the option is, i pay £50 and he makes it up to the £400
or he accepts i can only pay £50, the bank will have to take lower payments and we will be paying it off for a long time.0 -
make sure the bank have his address
they cannot have what you don't have
is this your only debt?Debt free 4th April 2007.
New house. Bigger mortgage. MFWB after I have my buffer cash in place.0 -
oh.. and it is unlikely you can restructure a joint debt on your own, it'd take 2 of you...Debt free 4th April 2007.
New house. Bigger mortgage. MFWB after I have my buffer cash in place.0 -
If you pay nothing they will chase him for the whole 400.
We see lots of posts from the other angle, ex won't pay, I'm being chased for the whole lot.
There is a moral point of view but if you can't pay half. You can't pay half.0 -
Im willing to pay as much as i can. I know its my responsibility too.
I just cannot afford to pay half.
It is not my only debt, i have a fair few and a crappy credit rating. I am paying them all, but its slow progress.
I think it would be better to jointly negociate a lower payment, that i can contribute to and pay that on time, regulary, even though its over a longer time, then default and get charges.
I know its not ideal to pay less, and of course i wold like it cleared quicker, but if i havent got it, i havent got it. The soon to be ex husband will just have to accept that.0 -
Why don't you speak to the citizens advice bureau, as this is a debt issue rather than a divorce issue.
You could also point out to him that if it goes totally peared shaped, not only will his credit be ruined for 6 years, but they are likely to be chasing him for the money and additional interest and charges as he earns £32k a year and are more likely to get the money out of him, rather than someone on £8.5k who is looking after a child (and dog!).0 -
just pay what you can. and let the bank chase him for the rest. As long aqs you aren't secrety paying out £500 every month on takeaways beer and sky movies, there's no problem. If YOUR credit rating is already poor, YOU have no reason to worry about the impact on it.
Is he giving you money for child maintenance? If not, CSA immediately.Debt free 4th April 2007.
New house. Bigger mortgage. MFWB after I have my buffer cash in place.0
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