My Partners Bad Credit history and My credit rating

stinky_docker

Just thought I'd ask a question amongst the various financial experts on here,

My girlfriend and I are looking to move in together into a house I'm currently getting a mortgage on, however she has a shocking credit history.

She has black marks and flags all over it with some outstanding debts, I've an exemplary credit file and I'm worried once we move in together we'll be associated and I'll be adversely affected.

We have no joint accounts but will inevitably have to get joint household bills or be registered at the same address for separate accounts.

Can anyone give me the absolute rules on this, will I be liable for any debts or will my credit file be affected by our association, we're not married but have plans to become married, however, until I can get some answers on this topic (which is becoming a bit of a sore subject to discuss back home) I feel nervous about the future...

Thanks for any help offered

Andy

Gordon_Hose

We had the same issue, but in reverse. It was me with the shocking credit file.

We kept EVERYTHING separate until my file was clear. Separate bank accounts, gas and electric in her name. TV and phone in my name.

The only thing our names appeared together on is the council tax bill.

Her bad credit won't affect you unless you get a joint bank account or mortgage, but you'll both be credit checked and it's unlikely anyone will touch her if it's that bad. Living at the same address won't affect your file and you're not liable for debts in her name alone.

Best just to keep everything separate is my advice.

Foxn86

The information above is correct, as long as you do not apply for anything together at all !!! you will be fine.

You will only be financially connected if you make applications for joint credit. So keep everything separate and with regards to bills maybe just keep them in your name and ovb both will be on council tax bill, however that makes no difference to your credit file.

To be honest im married and everything we have is separate not for any reason just the way it always has been and is not a problem ! so nothing to worry about

tinkerbell28

DO NOT get joint utilities. Utilities report to CRA's so this will financially link you.

So keep everything separate bar the council tax, of which you have no choice. Then you won't be financially linked at all.

Gordon_Hose

Yep, it worked for us for 3 years. My credit file is now tip top, but we've kept everything separate for now.

We're going to apply for a joint mortgage in the new year.

stinky_docker

Excellent thanks for all that guys, this website is amazing....

One other question if we get married are we then automatically associated...? I can easily keep all our bills and banks separate, also does having her in my will associated us or for my life insurance policies...?

MoHunter

I'm in a similar situation, my partner (whom I live with) has a default on his credit file which stopped me getting a loan due to a previous joint credit card application we had made - but managed to get us disassociated because the joint credit account was never opened actually, and we have no other financial link. (I afterwards managed to get my loan).

What everyone else has posted is true - as long as no credit account (or application) is joint, you are fine.

Living together or shared council tax doesn't affect this (nor does being a named driver on the other's car insurance).

I would make sure you get one or two bills in her name, so that she can start re-building her credit file by making regular on-time and full payments on some things...

Gordon_Hose

Getting married doesn't financially associate you.