Tenancy in joint names, questions 26 July at 10:55AM in Credit File & Ratings 25 replies 1K views

Spaceman450

We have a tenancy in joint names, since the lockdown we have been struggling to pay rent

will both our credit files be affected?

what if one of us goes bankrupt will half the rent arrears be written off or all?

zx81

None of it, as both parties are jointly and severally responsible.

Your files will be affected by any markers that are put on, such as if you are signed up for credit file reporting, or you get a CCJ.

Spaceman450

zx81 said:

None of it, as both parties are jointly and severally responsible.

Your files will be affected by any marker that are put on, such as if you are signed for creit file reporting, or you get a CCJ.

What do you mean none of it will be written off in a bankruptcy?

its either all or half surely?

zx81

Surely not.  Both parties are jointly and severally responsible, so they can pursue the other party for the full amount.

Spaceman450

So we both have to go bankrupt?

can anybody else who knows comment on this?

bradders1983

Surely you are not considering the nuclear option of bankrupcy ONLY for a couple of months of rent arrears?

desktop

zx81 has answered your question with complete accuracy.

MovingForwards

Have you been in contact with your LL to explain your situation has changed?
Also, check entitled to and see if you are able to claim any benefits.

Rent / utility bills are priority debts, loans / credit cards etc can and will wait.

I'm not repeating what zx81 has already said.

D3xt3r5L4b

Without the full picture (total debts etc) going bankrupt is a bit.. much....

MEM62

Spaceman450 said:

can anybody else who knows comment on this?

There is no need.  The advise you have been given by zx81 is perfectly sound.
This is not a situation where, if you can keep asking the same question, you might eventually get an answer that you like.   

PRAISETHESUN

Spaceman450 said:

So we both have to go bankrupt?

can anybody else who knows comment on this?

As above, both of you are jointly and severally liable for the debt which means the two of you collectively owe 100% of the amount owed. It does not mean that each of you only owe 50% as you seem to think. As such if one of you were to go bankrupt, the collectors could pursue the other party for 100% of the debt. 

I'd pop over to the DFW board and post a SOA and the kind folks there may be able to help you find something in your budget to help you get through this. It'd probably also be worthwhile getting in touch with your landlord to explain your circumstances and come to an arrangement, if you haven't already. I wouldn't recommenced considering bankruptcy as your first and only option.