Mortgage query after bankruptcy

74leeboy

Hi all. I was declared bankrupt in aug 2017 and discharged in 2018. At the time of bankruptcy I was in a joint mortgage with a family member, and the OR wanted £10,000 for my share of the equity from my family member. They paid the OR the £10,000 and everything has been good. I've just been wondering if they fell into financial difficulty could the mortgage company chase me for the debt ? As far as I know I'm still on the mortgage as I haven't had any paperwork to contrary. Also the family member has been paying the mortgage themselves since a few months before I was declared bankrupt. Sorry for the long post. Any help would be amazing.

thevdm

[FONT=&quot]I guess the first thing to do is check whether you are still named on the mortgage or not. If you are listed on it, then you would both be equally liable if payments fell behind. If you're name is no longer on the mortgage then you'd have no liability.[/FONT]
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[FONT=&quot]As far as I know, declaring bankruptcy doesn't necessarily remove you from a mortgage as a single person may still be able to continue with a mortgage during bankruptcy assuming there is little equity in the home of if someone provides the amount to cover the equity (as appears to have happened).[/FONT]

debt_doctor

Hi,

You are still on the mortgage, so if the mortgage did not get paid then they would ask all parties on the mortgage to pay. As this is a secured loan it is outside the scope of bankruptcy, but if the property was repossessed, at the point of sale, any amount that might be still owing (mortgage shortfall) would immediately become part of your earlier bankruptcy under the 'contingent liability' rules and you would not be responsible for paying it.

DD

74leeboy

Thank you both for your replies. It's only for my own peace of mind. I don't know why I didn't think of this earlier. Thanks again