My friends Ex partner wants paying in cash

nc84

My friend has been living with his girlfriend and child for just over a year now in a house they bought jointly together and paid half each.

The relationship was fine and then she said she didnt love him and moved out back to family and he wanted to keep the house. At the start it was all very amiable they agreed a settlement figure for her part of the house and what possesions she wanted. Anyway she wanted the money all in cash so as it wouldnt affect her benefits so rightly or wrongly he gave half in cash but she signed a receipt. The other half he had to borrow from family but wants to pay her by cheque so he has a record but she maintains she wants all cash and if she doent get it she will say the other cash he gave her was what he owed her for other things and not the house.

He is at his wits end and doesnt know whether to pay her cash and get her out of his hair.

any advice would be greatly appreciated

BitterAndTwisted

He's already paid her in cash for the first half and got a receipt for it, so why can't he do likewise for the balance? Either a signed receipt is adequate proof or it isn't.

As to her benefits, there's nothing to stop him shopping her and waving his signed receipts about if she wants to be dishonest about having received it from him.

nom_de_plume

Perhaps the exchange of cash can be done in the presence of an independent witness?

nc84

Thanks for you reply. He has got to keep her name on the mortgage for the time being for mortgage purposes and if he sells the house she would have to sign papers. Could she ask for more before she signs them?

happy35

I dont think child maintenance has any effect on benefits now, it may be that she uses this money to live on and the money in her account is for bills etc

I know a few people who do this and go grocery shopping etc on the day they get their maintenance, their wages is left along for bills until all direct debits have come out and then what is left is their for savings etc

BitterAndTwisted

Yes, she could. Most especially if the property increases in value substantially in the interim. Your friend might not be able to raise a mortgage in his sole name for years and years.

In your friend's situation I would hand over the cash in a solicitor's office and have her acknowledge receipt IN FULL AND FINAL SETTLEMENT of any claims against the property in future.

nom_de_plume

Let's hypothetically fast forward 5 years when your friend has settled down with a new girl and is ready to exchange contracts on a move and right at the last minute she drops the bombshell of 'give me an extra £10k or I won't sign'. Your question is impossible to answer. He needs some kind of rock solid confirmation that she no longer is the owner of half of the property but this sounds difficult if she is on the deeds and mortgage.

nc84

Could he tell her if she doesn't sign the forms he will g to the benefits office and show them the receipts?

Voyager2002

nom_de_plume wrote: »

Let's hypothetically fast forward 5 years when your friend has settled down with a new girl and is ready to exchange contracts on a move and right at the last minute she drops the bombshell of 'give me an extra £10k or I won't sign'. Your question is impossible to answer. He needs some kind of rock solid confirmation that she no longer is the owner of half of the property but this sounds difficult if she is on the deeds and mortgage.

Yes!

She will only be "out of his hair" once her name has been removed from the title deeds and mortgage. So he should not hand over the cash until she is ready for this to happen.

Caz3121

What sort of figures are we talking here - who calculated what her share was worth?
She will only qualify for means tested benefits whilst being part owner of the property if a) her share of the equity is under £16k or b) the property is up for sale (in which case the capital is ignored for 26 weeks)

HPoirot

BitterAndTwisted wrote: »

In your friend's situation I would hand over the cash in a solicitor's office and have her acknowledge receipt IN FULL AND FINAL SETTLEMENT of any claims against the property in future.

^^^^^^^^^^^^^^^
Together with the receipt for the first payment. Any other course of action would turn out to be foolish in the long term, he would never 'get her out of his hair' if he just hands over the cash with no formal written witness.