Legal Boffs.....Family finances gone wrong...?

On behalf of a friend, whose partner has left her in the lurch with outstanding debt, including a joint loan to pay off his credit cards and his personal debt. If this can be proved that the loan was only for that purpose will she be able to get out of paying it through the courts?

unfortunatly not

if its in joint names she is accountable for the debt too, even if she didnt use any of the money

seems this guy has left her in the doo doo.

its time the law was changed but unfortunatly for your mate its not been yet.

sorry.

Nope it is a joint loan. She will have to go to the court to try and get it transferred into only his name.

If the loan was joint, the finance company can claim repayment from either of them. If he's legged it, she's lumbered.

No. If she signed it, she is obligated.
Sorry.

Darlin', if the loan has her name on it, then she is jointly and singularly responsible for the debt. This means that even if she pays her half, the creditor will still come back at her for the rest.

She COULD try sueing him for the money through the courts though.

If the debt is a very large one, get her to get rid of the house (sell/someone elses name etc) and consider bankruptcy.

The ONLY time that a 'debt' in your name can be used to your advantage is when it is used and can be proven to have paid the deposit on a house.

This then comes straight off the equity and THEN the remainder is split.

I have just done this very thing and have tried to get out of paying a bill which was used to pay off HIS debt. Trust me, you can't do it. I did, however, get him to accept a far lower deal than normal 50-50 equity split.

If your friend is married, or has a house in joint names, she may be able to negotiate something with him.

Good luck. It is heartbreaking I know...I have been to hell and back and I wish your friend well.

Debts belongs to the person whose name is on the debt. regardless of why it was obtained or for what purposes it was used.

This means that joint debts are half each. His are his alone and hers are hers alone.

The court or/and the creditor will not be interested in how the loan was used. Only..how she will be paying her half of it