Moving in together - partner with debt

Charley28

Hi guys, hoping someone can give me some advice...
I'm moving in with my boyfriend for the next 6 months. We have discussed who will pay what etc and the only things he has asked me to pay is 1) the difference in council tax as he looses his 25% single occupant discount when I move in, 2) TV licence as he doesn't watch TV but I do, 3) split the grocery shopping costs. As he owes me money from previous things, all household bills and rent will be covered by him.
I have moved in over the weekend and as I was sorting paperwork have discovered he is in debt with rent and council tax... I knew about his credit card debt and as far as I know because none of it is joint this won't effect my credit
What I'm now wondering is, am I jointly liable to pay off his debt on these as I now live there also??? And does this debt effect my credit rating???
I am saving towards a mortgage, nearly have my deposit and have worked really hard to keep my credit rating good, now worrying that could all change
If anyone can help answer I'd really appreciate it, thank you

Pixie5740

There's no such thing in the UK as a joint credit card. There's the principal card holder (the one liable for the debt) and secondary card holders (not liable for the debt.)

Is the tenancy solely in his name? If yes then he is the only one legally liable for paying the rent.

There is a strict hierarchy of who is responsible for paying the Council Tax on a chargeable dwelling (property). The person responsible for the Council Tax on a property will be the person who comes first on the following list:
*a resident of the property who has a freehold interest in the whole or any part of it
*a resident of the property who has a leasehold interest in the whole or part of it which is not inferior to another such resident leaseholder's interest
*a resident who is a statutory or secure tenant of the whole or any part of the property
*a resident who has a contractual license to occupy the whole or any part of the property
*a resident of the property
*the owner of the property

A "resident" means any individual who is eighteen years old or over and has their sole or main residence in the property.
An "owner" means a person with a 'material interest' (freehold or leasehold granted longer than 6 months) in the whole or any part of a property for which an inferior 'material interest' is not subject.

Therefore I don't see how you could be liable for council tax for a period when you did not occupy the property. From now on though you will have some responsibility for paying the council tax but if the tenancy is only in his name you come below him in the CT hirearchy.

Living together does not link people together financially. It's having joint financial products that would link your credit files.

Rent and council tax are priority debts. These should be paid before anything else so it is concerning that your bf is in arrears with both. I think you both need to sit down and have a frank conversation about your finances.

specialkaye

If you are added to the council tax as jointly liable (regardless of any tenancy) the council will issue a new account number from the date you moved in - this will mean that you are not liable for any past debt but it would be in your interest to ensure that the current liability is kept up to date. You will able to see if you are going to liable for the council tax on the new bill you will be sent - either it will be in his name with the same account as before but with the single person discount removed or it will be addressed to you both and will have a different account number to the one he has singularly

If you keep your finances separate i.e. no joint bank account, then your credit score should not be affected.

ada-or-ardor

Pixie makes a really good point about you not being liable retrospectively for the CAT debts. Going forward you will be jointly liable, so as Pixie says, you need to approach him about what you've found and ask him what his plan is to fix it. It would also be sensible for you to keep any proof of your previous address, so that should you need to prove to the council that you weren't living with your boyfriend, you can do so easily. But don't worry about it until you need to - just keep some paperwork handy; it doesn't sound like your partner intends to lump you with his debts!

Good luck - have the conversation and be wise when approaching joint financial ventures (even a joint current account for bills makes you financially linked and that's where your credit file can start to be cross-stitched with your partners and vice versa).

And good luck with your eventual property purchase!! :-)

Ada

Charley28

Thank you for your advice, much appreciated

lika_86

If he's had past issues, which he clearly has, my biggest concern would be making sure that he is now dealing with it and not just burying his head in the sand. As you're moving in, why not take this opportunity to sit down together and properly cost everything out and make sure he has a plan for repayment.

boliston

I'm not too sure it would be a good thing to tell him you have discovered debt notices as these are totally private documents although I would be careful with checking that any monies you give him for council tax are actually paid to the council as you are personally responsible for 100% of the arrears if he does not pay, but only from the date you moved in, not for old arrears. The other thing is make sure you never take out any joint loan or mortgage as this would have a bad effect on your credit rating for 6 years.