House sale detb

shanibl

Hi all. My house is on the very last stage of sale. It is morgaged by myself and ex husband, he has run up a hugh detb with is only in his name there is a charge order against the house attached to it all figures have been calculated now and he has a short fall of £8553 if it doesnt pay it even though i know he has the money that amount will be taken from my share to clear or the sale will not proceed, which is not an option as the min the sale would stop the house would be reprocessed by the company the money owing to. Has any one got any advice please as this is totaly unfair im not coming out with much myself but this deduction would leave £2000. Many thanks shani

TBagpuss

Why will it come from your share? Is he saying he won't allow the sale to continue if it doesn't, or there not enough to clear the debt from his share? 
Is there a court order in place stating what you are entitled to? 

74jax

How is the house held currently? Tenants in common /joint tenants? 

shanibl

TBagpuss. Thanks hes agreeing to sell but theres not enough money left in his pot to pay off this detb £8553 short and my solictor has said we cant exchange contracts without all detbs are cleared connected to house. I was told from the start we are responsible for own outstanding monis owing, and the company money owing to nows it was nothing to do with me but sucured a charge on the house as a joint morgage and even have a procession order but by then the house was under offer. He is refusing to pay outstanding sum so it has been said that it has to come from my profit so sale can continue if i dont and sale falls through the company will step in and house will be reprocessed. Sorry long a d winded i feel i have no choose but i now he money i dont think i have any way out of it all so wrong, could have spent that on a hit man😀

Keep_pedalling

It might be worth you talking to National Debtline.

https://www.nationaldebtline.org/

sheramber

 If the debt is only in his name I suggest you contact Citizens Advice
https://www.citizensadvice.org.uk/debt-and-money/action-your-creditor-can-take/charging-orders/
When your creditor has a court order against you, they can apply for another court order that secures the debt against your home or other property you own. This is called a 'charging order'. If you own your property jointly with someone else but the debt is only in your name, the creditor can only get a charging order for your share of the property - this is known as your ‘interest’.

TBagpuss

shanibl said:

TBagpuss. Thanks he's agreeing to sell but theres not enough money left in his pot to pay off this detb £8553 short and my solictor has said we cant exchange contracts without all detbs are cleared connected to house. I was told from the start we are responsible for own outstanding monies owing, and the company money owing to knows it was nothing to do with me but sucured a charge on the house as a joint mortgage and even have a procession order but by then the house was under offer. He is refusing to pay outstanding sum so it has been said that it has to come from my profit so sale can continue if i dont and sale falls through the company will step in and house will be reprocessed. Sorry long a d winded i feel i have no choose but i now he money i dont think i have any way out of it all so wrong, could have spent that on a hit man😀

OK - the options would before the creditor to accept the lower amount ( and pursue him separately for the balance) or for yu and him to agree that this debt is paid from the sale proceeds and you recover it a different way from him. The creditor may accept the lesser amount as they should know they are only entitled to a charge over his share so if they were to repossess, they would still only get his share of the money - obviously they're hoping you will blink first and they get more! 

Has your husband tried to negotiate with them at all?  It's not something your conveyancer would normally get involved in, they would simply need confirmation from the creditor that they would remove their charge over the house - normally this would be in return for the conveyancer undertaking to pay them what they are owed, but in this case they can't pay the full amount. 

Do you know how much in total is owed by your husband? (i.e. how much is the shortfall compared with the total debt?)

Are there any other assets? For instance, does your husband have any pensions? He can't use those to pay off the debt, but he could, if the appropriate order was made as part of divorce order, transfer them to you, so you could end up with pensions in return for allowing some of your share of the money from the house being used to clear his debt.

Equally, if your husband has the money then a court could order him to pay you a lump sum, so instead of getting £12K from the house, you got £9k from him and £3K from the house, with the rest of your share of the sale proceeds being used to clear the secured debt. (and it is possible, although unusual, for a court to make freezing injunctions to stop him removing funds from bank accounts , if that's a risk. 

shanibl

Tbagpuss. Thanks he was no pension, but has £30,000 in the the bank from inheritance.  His debt is £19, 981 and he has a short fall of £8,551. Which leaves no money at all from house sale. I am negotiating with him but drop hold up much hope. But if i am forced to clear said detb i will be pursuing the small claims court this has been a battle from the start injuctions and court im certainly not giving in without a fight. Thanks for you advice, regards shani

RAS

Do you have a financial settlement as part of the divorce?
Otherwise, try to get the holder of the charge to drop the debt and chase him for the inheritance.

shanibl

Thanks Ras. Divorce settlement was 50/50 split from hose sale and responible for individual detbs and he racked up the 19,981 after seperation regards shani