Disassociation

Lolou

I need some help, offer accepted on house this week, and worked hard to get my credit file in check before applying for a mortgage only to find out this week my ex has a charge on my property and this is now preventing me from getting a AIP this has resulted in me having to rent instead of buying. The plan was to clear of my existing mortgage, ex gets his share and I can move on to purchasing my own property. This has caused me a lot of distress and I'm trying to figure out the best way to resolve. Looks like none of the banks will offer anything until I disassociate first, is this correct?

K_S

@lolou It's not clear what you referring to - being financially associated on your credit reports stopping you from getting a mortgage or being unable to sell your house because your ex has a charge on it?

Lolou

I am financially associated with my ex husband as his name is still on the mortgage there is no charge on the property for my husband as I was not able to transfer the property at the time of divorce as the mortgage company said I did not earn enough to transfer into my sole name so it remains in joint names.  However, there is an order for at 67%/33% equity split after paying off the mortgage on the sale of the property.   I have discovered my ex husband has a debt/charge against the property which I assume will get paid off when sale completed.   I guess I have to wait until sale goes through, then I'll have to get him off my credit report, as I think this is what is preventing me from getting a mortgage, I'm just unsure. Any help very much appreciated.

NewLeaf1986

Yes, you'll have to wait until the sale completes and then once you don't have any accouts in joint names you'll need to file a "Notice of Disassociation" with each Equifax, Experian and TransUnion.

Unfortunately the timeframes involved in this are slow- once the mortgage is paid off it could take upto eight weeks for it to reflect as such on your credit files, and the credit reference agencies won't action a notice of disassociation until it does.

Once you file your notice of disassociation it can take up to another four weeks for this to be actioned by the credit reference agencies, so budget a clear twelve weeks between the mortgage having been paid off, and you being able to approach another lender for a DIP.

Do you have any other joint accounts of any kind? Make sure they're all closed and settled as the CRAs won't action a Notice of Disassociation if your credit files still show any joint accounts / joint commitments.

And most importantly - Good luck!

Lolou

Great, thank you so much for this as it gives me a clearer picture now....fingers crossed I will eventually get a fresh start