what happens to joint loans when one goes bankcrupt?

SUNFLOWER1_2

My husband after a long and hard think and had several offers of payments refused has decided to go bankcrupt and to be honest it is most def the best decision all round. My question is this- obviously they will close our joint bank account I understand that- but what happens to any joint loans? We have a joint loan with Natwest- can that be put in with the bankcruptcy? I'm not sure how they deal with this- can anyone please advise

Many Thanks

x

MichMoor

The other party will become liable for paying ALL of it

SUNFLOWER1_2

I had a feeling I would! Not that I mind it was my loan anyway and they decided to put my husband on to it as I didnt qualify on my own! Will his name be removed off the loan agreement then as we have been advised that once he is bankcrupt seeing as we will have nothing else in joint names to file a notice of dissassociation so that his credit file doesnt come up when any searches are made on me but I wont be able to do that if he is still linked via this loan.

MicheH

As you're married and are already financially linked I'm not sure you could apply for a notice of disassociation.

With the loan where the credit file is concerned your husband will still be named on there but once bankruptcy is over and the file has been checked it has been updated correctly then it will be marked as satisfied or partially satisfied until it drops off his credit file.It will still be a credit agreement in his name showing on his file and because you're already financially linked and married I doubt you could disassociate yourself from him.

That's only my gut feeling going on my own circumstances. It's by no means official or known to be correct advice. Just what I think.

MicheH

just been reading a bit about dissasociation and you maybe able to. I'm really not sure. Have a look at the FAQ's at Equifax, Experian etc the credit reference agencies. Might just give you a definitive answer.