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Seller took out a personal loan for home improvements, can I be held liable?

baccalad
Posts: 14 Forumite


The seller of the house I'm in the process of purchasing has a personal loan of around £15k which was taken out for home improvements. I believe it was for fitted wardrobes, a conservatory roof replacement and possibly a new boiler.
The seller/seller's solicitor are saying that the personal loan is not secured against the property and that there's no charge against the title.
My solicitor is insisting that it's paid off fully by the seller before completion. Says I can proceed but is strongly advising against it; that I could end up with a CCJ in my name or bailiffs seizing said items. They also said that they're going to report it to my lender if I wish to proceed.
There was a thread posted a couple of years back where someone had a similar issue, but my solicitor is giving the complete opposite advice.
https://forums.moneysavingexpert.com/discussion/6266769/previous-home-owner-not-paid-for-kitchen-now-i-own-the-property-am-i-liable/p1
The seller/seller's solicitor are saying that the personal loan is not secured against the property and that there's no charge against the title.
My solicitor is insisting that it's paid off fully by the seller before completion. Says I can proceed but is strongly advising against it; that I could end up with a CCJ in my name or bailiffs seizing said items. They also said that they're going to report it to my lender if I wish to proceed.
There was a thread posted a couple of years back where someone had a similar issue, but my solicitor is giving the complete opposite advice.
https://forums.moneysavingexpert.com/discussion/6266769/previous-home-owner-not-paid-for-kitchen-now-i-own-the-property-am-i-liable/p1
0
Comments
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There is no way for you to become liable for someone else’s personal loan.11
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Feel free to point your solicitor at the previous thread and ask them to explain their advice with appropriate citations...4
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Unless this is a personal loan secured against the property your solicitor is giving you a bum steer. The vendor’s unsecured personal debt has nothing to do with you or the property.13
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Even if it was secured, it would be paid from proceeds of the sale . It would not become your debt. Frankly you need a different solicitor.9
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If this is the sort of advice from a solictor, I would appoint a new one.7
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I would get a new solicitorDon't put your trust into an Experian score - it is not a number any bank will ever use & it is generally a waste of money to purchase it. They are also selling you insurance you dont need.3
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The loan not being secured against the property means that your house can't be repossessed. However it is possible that if the loan is not repaid, the lender could seek to remove the fitted wardrobes, boiler etc.
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As it's a personal loan that's not secured against the property. How did you become aware that it existed and what the money was spent on. Somewhat unusual.3
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user1977 said:Mark_d said:
However it is possible that if the loan is not repaid, the lender could seek to remove the fitted wardrobes, boiler etc.
However, I would not suggest to the OP that they disregard the carefully considered advice of their solicitor in favour of advice from some anonymous bloke on the internet.No reliance should be placed on the above! Absolutely none, do you hear?1
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