Buying with a Partner who has debts.

Morgage_Confused

I meant the £5 per month.....not the 15k.
But fair point about keeping the dept "live"...makes sense to keep them paying even a token amount.

joe134

Morgage_Confused wrote: »

I meant the £5 per month.....not the 15k.
But fair point about keeping the dept "live"...makes sense to keep them paying even a token amount.

hi Ive just cleared my daughters £25k debts for £15k, negotiated settlement figure, she was on cccs payment plan.nominal amount. Missed several payments resulting in 1 ccj, and 1 charge on the house, which I,ve had lifted, via land registry. bloody headache;
she,s in same boat as you, her new partner has good record and cash for house, told him not" to put daughter on anything financially that would affect his record.she,s in agreement. her ex is not playing ball,no kids either.

Radiantsoul

DVardysShadow wrote: »

Banks entertain such agreements because they keep the clock reset to 0 for the 6 year limit for Statute Barring. So if the debtor comes into some money, they can claim.

£k15 is worth chasing - and I imagine would be chased if token payments stopped.

I used to work in debt recovery.

The limitations part is correct. These agreements are generally reviewed yearly. Often interest is stopped. Banks are supposed to help citizens.

If payments stop the bank would probably sell the debt to a collections agency, if it has not already done so. If they suspect a person has assets or the ability to pay they might go for bankruptcy, send round a debt counsellor, employ a detective to search out assets or park a case for a period of time(if someone is expecting a large inheritance, etc).

Radiantsoul

I would not do this.

Your partner needs to work to clear his existing debts before taking on anymore. A mortgage is a joint and several liability which means either party can be liable for repaying the full amount. Even if you somehow got a mortgage his existing lenders are likely to get a charging order but on the new property. This means you cannot sell without repaying them or getting the agreement of the court.

There are lots of legitimate reasons why a person may be in debt; failed business, relationship issues, family problems, health problems, etc. So there is no judgements on the fact they are in debt.

Assuming your partner is now looking to set themselves on a more stable financial basis paying off their existing debts has to come first. This should demonstrate their commitment, reliability and resiliance.