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Divorce/Mortgage & Repossession/Bancruptcy - help!

Not sure which thread to post so please feel free to 'bump' it.

Long story....Partner & I both been through the trials & tribulations of life. Now getting on a bit (early 50's) and thought we could look forward to a reasonable life together to see us out.

Me, lost half my inheritance to husband when he divorced me..... got on with life and sod the mortgage I will never be able to pay off thanks to him. Worked hard and will work til I'm 65 and over if have to.

Him, worked harder than me but carefree about money. His missus spent and spent, he worked and worked. She started divorce. He moved in with me with nothing but the clothes he could fit in three bin liners. Brought some debts with him but they were not huge.

Between us and happy as we could be we started life again. Cost him over £3k to get divorce settlement - barrister needed but we were told it was worth the money. Judge decided neither he nor his missus had any capital but because he had pension placed a pension sharing order on him. Half his pension went to her. House repossessed. Outstanding balance due to mortgage company unknown but guessed by both sides to be circa £25k. Judge said each liable for half but barrister suggested unlikely mortgage company would pursue.

WRONG! They are now, after three years coming after him for the outstanding debt.

Not had letter yet, only phone calls. So rang debt advice line who say as mortgage in joint names (yes, standard joint mortgage) both are joint and severably liable and yes, because he is earning he will end up liable for the WHOLE amount as she is not working despite and divorce settlement advised by the judge!!!!

If he is in for the whole £25k how can that be 50/50? Between us me and him have managed to pay off his debts (she should have been party to but in his name as she had bad credit rating when taken out so judge decided they were his).

Debt advice line said he would need to outline his essential living expenses and anything left over would go to mortgage company. He has nothing but the clothes he left with and a few bought since, he doesn't drive/have a passport.... he has nothing.

Just as we thought we could start again debt free he has had the rug pulled from under his feet. He is still under the impression she is liable for half. I haven't told him yet. I have rung the solicitor that dealt with the divorce but he's not available until Tues.

Question 1. If he is liable just because he's better off than her surely the divorce settlement is unfair? Can he contest it? The absolute was about a year ago or just over.

Question 2. Would he be best to go through the bancruptcy route. He has nothing to lose and yes, I think I can prove he has not contributed to my mortgage.

Question 3. What is deemed to be essential living expenses?

You guys have been brilliant in the past pointing out little loopholes here and there and giving advice and now I need you again. All we want is a decent, average life to look forward to. We are lucky to have eachother. He is the most caring and decent fella I have ever met and doesn't deserve this. If he knew he was in for the whole amount it would crucify him. He felt bad enough bringing debts with him but I can assure you HE paid them off, purely with my guidance and with your help. And I can assure you I do not have rose tinted glasses when it comes to him. He is genuinely a really nice guy. He gives me half of what he earns as a thank you (he doesn't know I am saving it in a separate account for his rainy day but as his debts have only just been fully repaid this is in the hundred's not thousands).
There is always light within the dark

Comments

  • mel12
    mel12 Posts: 298 Forumite
    Question 1. If he is liable just because he's better off than her surely the divorce settlement is unfair? Can he contest it? The absolute was about a year ago or just over.
    Both people are equally liable for all of it, meaning the mortgage people can chase either or both at their choice. Sorry I know thats not really fair.

    On the other hand if he does go bankrupt the entire debt will fall to her (not just half of it).

    Bear in mind if he goes bankrupt he may be asked to pay any surplus income towards the bankruptcy for 3 years.
    Only after the last tree has been cut down,
    Only after the last river has been poisoned,
    Only after the last fish has been caught,
    Only then will you find that money cannot be eaten
  • tigerfeet2006
    tigerfeet2006 Posts: 14,030 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    edited 15 April 2011 at 8:45PM

    That is not the OR's guidelines.

    If you pop up your SoA then someone will give you an idea on how the OR may look at it.

    http://www.makesenseofcards.com/soacalc.html
    BSCno.87
    The only stupid question is an unasked one
    Loving life as a Kernow Hippy
  • Ineedaname
    Ineedaname Posts: 3,681 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    It's also about DMP, not BR

    "The amounts indicated may seem low.
    Remember if you are planning to ask
    your creditors to accept reduced
    payments, they will want to see that you
    are making an effort to pay as much as
    you can. This means that you may have
    reduce the amounts you are used to
    spending in this area."
    When I joined, I needed a name. The forum members gave one to me...I am INAN :D
    "Fortunes ebb and flow and a boat must move with the tide and be thankful that it floats." Judith Allnatt
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