People at my address being made bankrupt?

linzi_mac

I unofficially rent my shared-ownership flat out to my sister. (its in my old name, I have since married)

She has now moved her partner in who has loads of debt and is about to declare himself bankrupt.

Will this affect my credit rating?? I live with my husband, so have a different name and address to when I lived there, but I still own the property.

Last time I did a credit score check (around a year ago) it was 999

spacey2012

Short Answer NO;

linzi_mac

thanks! thank goodness for that. Can anyone explain to me why though?

Alter_ego

linzi_mac wrote: »

thanks! thank goodness for that. Can anyone explain to me why though?

It's because people go bankrupt-not addresses.

linzi_mac

thank you both. Thats my mind a rest.

pineapple123

Under the terms and agreement of shared ownership (HA) you cannot sublet, its in the terms and conditions of the lease you would have originally signed.
Make sure that your sister is not financially linked to this fella, as others have said his finances or lack of them will not affect your credit score but could affect your sisters and could also highlight the fact that you are renting out your shared ownership property to her.
I do not know if private shared ownership schemes t&c are different I would suspect they are not but maybe someone else could advise.

katejo

pineapple123 wrote: »

Under the terms and agreement of shared ownership (HA) you cannot sublet, its in the terms and conditions of the lease you would have originally signed.
Make sure that your sister is not financially linked to this fella, as others have said his finances or lack of them will not affect your credit score but could affect your sisters and could also highlight the fact that you are renting out your shared ownership property to her.
I do not know if private shared ownership schemes t&c are different I would suspect they are not but maybe someone else could advise.

Also you could have problems if you have not declared your sublet to your mortgage lender or insurer

bizzybee

And isn't there a question on insurance proposal forms regarding any of the occupants being bankrupt?

Senior_Paper_Monitor

or HMRC (you should be paying tax on the income less certain expenses) ?

Paul_the_Painter

Pineapple, please do not post rubbish. It totally depends on the lease whether or not you can sublet or not.
In my shared ownership house (council) I can rent to who I like, and the quarterly rag the council sends out even has hints and tips on how to do it.

Other advice regarding not financially linking to her soon to be bankrupt boyfriend is spot on. A classic gotcha would be to put him as a joint name on a bank account, so that after bankruptcy he can use a bank account. If she did that, she's just ruined her record.

pineapple123

Paul_the_Painter wrote: »

Pineapple, please do not post rubbish. It totally depends on the lease whether or not you can sublet or not.
In my shared ownership house (council) I can rent to who I like, and the quarterly rag the council sends out even has hints and tips on how to do it.

Other advice regarding not financially linking to her soon to be bankrupt boyfriend is spot on. A classic gotcha would be to put him as a joint name on a bank account, so that after bankruptcy he can use a bank account. If she did that, she's just ruined her record.

Agree it could
depend on the lease but mine HA states no subletting in BOLD letters in the contract T&C.