We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide
Change of parties - anything to be aware/ concerned about?
downhiller
Posts: 123 Forumite
My wife and I have split, the divorce has just been finalised. Since we split she's been paying 1/3rd of the mortgage. We're with NRAM and have a secured interest only mortgage plus an unsecured loan.
As it stands the mortgage is £150k and the loan is £23k. She's agreed to pay off half the unsecured loan in exchange for me taking on the rest.
At the moment the property is worth £145k so we're in negative equity. On the surface it looks as though I'm letting her off with a lot of debt, but one of the reasons we're no longer together is because she is so bad with money which caused a lot of problems throughout the marriage. I no longer want any financial ties to her and fully expected to have to sort the mortgage out myself.
Financially wise it's not a problem for me. My income is ~£100k and apart from the mortgage I have no credit debt apart from a £5k loan with two years left to run. Affording it on my own isn't a problem and I have savings plan in place to pay down the mortgage and unsecured loan quickly.
I have an appointment with NRAM to discuss the change of parties. I have all my financial information ready. Obviously having never been through this situation before it's quite daunting. Is there anything obvious to look out for or be concerned about. I'll obviously be getting a lawyer to sort out the transfer but I guess I'm just concerned that NRAM will refuse. While on the surface I can more than afford it, I'm concerned NRAM will say I can't and refuse the transfer and because we're in negative equity I can't remortgage elsewhere.
Any advice appreciated.
As it stands the mortgage is £150k and the loan is £23k. She's agreed to pay off half the unsecured loan in exchange for me taking on the rest.
At the moment the property is worth £145k so we're in negative equity. On the surface it looks as though I'm letting her off with a lot of debt, but one of the reasons we're no longer together is because she is so bad with money which caused a lot of problems throughout the marriage. I no longer want any financial ties to her and fully expected to have to sort the mortgage out myself.
Financially wise it's not a problem for me. My income is ~£100k and apart from the mortgage I have no credit debt apart from a £5k loan with two years left to run. Affording it on my own isn't a problem and I have savings plan in place to pay down the mortgage and unsecured loan quickly.
I have an appointment with NRAM to discuss the change of parties. I have all my financial information ready. Obviously having never been through this situation before it's quite daunting. Is there anything obvious to look out for or be concerned about. I'll obviously be getting a lawyer to sort out the transfer but I guess I'm just concerned that NRAM will refuse. While on the surface I can more than afford it, I'm concerned NRAM will say I can't and refuse the transfer and because we're in negative equity I can't remortgage elsewhere.
Any advice appreciated.
0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 354.3K Banking & Borrowing
- 254.4K Reduce Debt & Boost Income
- 455.4K Spending & Discounts
- 247.2K Work, Benefits & Business
- 603.9K Mortgages, Homes & Bills
- 178.4K Life & Family
- 261.4K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.1K Discuss & Feedback
- 37.7K Read-Only Boards