How much does partner's credit really affect me?

greenjasmine

Hi everyone,

First of all, I would like to say that I am posting here as a last resort, having searched elsewhere for relevant information and not had much luck.

Background: I have what I think should constitute a relatively sound credit history. I'm 33 and since the age of 18, I've had various store cards, credit cards, loans, catalogue and mobile phone accounts, all of which I have paid off in full. I have only ever missed one loan repayment (due to a period of unemployment) and that was in early 2006. I currently have no loans, a small agreed OD, one credit and one store card (I make more than the minimum payment each month) and one mobile contract. There are no defaults on my credit report, no CCJs, I am on the electoral role and we lived at our current (rented) address for nearly two years.

My husband was until recently on a debt management plan, which he took out before he defaulted on anything, foreseeing problems and to try and do the right thing. The company he was using were rubbish however, so he went back to his creditors and made individual arrangements with them. He is due to finish paying in about 3 years. He recently managed to get a sub-prime card to start rebuilding his credit profile.

My question is this: is my being financially linked to him (we have a joint account for bills etc - which are always paid on time, in full) really responsible for the fact that I cannot get a balance transfer credit card and have even now been turned down for a new bank account? In order to minimise the impact of his poor credit on mine, we decided we should close our joint account and open a new on in my name only - but now I can't even do that!

This is making me really unhappy as I have always tried hard to be careful with my spending and repayments. I've been through my credit file again and again, and the only negative thing I can find is my financial link to my partner. I don't have any unused credit cards or other contracts.

Is this REALLY enough to scupper my credit rating alone, or could I be missing something? I would be really grateful for any comments or suggestions.

Mokka

You are not linked because you are married, but you are linked because you've had a joint account.

I thought me and my OH are not linked as we had no joint credit accounts, but we are just by having a joint current account to pay bills. Fortunately in our case there are no downsides.

If you ask for your credit reports you will see this in the section 'Financial Association'.

You can always get a basic account, but no credit.

After some time you might try to remove financial association, but not sure how, if you are married?

Sorry to be the bearer of bad news!

Good luck

cookyy2k

I'm not 100% certain about the credit file effects of links, someone will be around soon to answer that no doubt.

About your husband's DMP if he has agreements with his outstanding creditors he really should not be using a sub prime CC, on a DMP you need to treat your creditors equally. If he has agreements that stop interest and charges while he pays them back but pays the new CC their interest and charges the other creditors are well within their rights to cancel any agreement and go back to adding interest and charges onto the accounts.

molerat

Simply put yes it has badly affected you and will continue to do so for 6 years after the last black mark is recorded as you are seen as almost one financial entity. Conversely a SAHM with little personal income or history has been given a credit card based on the good credit record of her partner. If you can get a basic bank account and transfer everything over to that and then get rid of the joint account you may be able to file a disassociation.