Joint debt - 2 separate SD

[time2burn]

Hi

This is connected to ongoing Mort shortfall SD issued to me and wife(not yet officially been served)

Is it true that although the debt is in joint names(as both on mortgage) that a SD and subsequent bankruptcy of a person is liable for 100% of the debt?
and
if 1 person gets made bankrupt from a SD, and is liable for 100% of debt, what happens to the 2nd person(my wife) ? will they pursue bankruptcy for her? if so why? as debt is already covered 100% under my bankruptcy

Just trying to plan ahead and understand the possible outcome/process

any guidance would be great

Thanks

SM

[FlamingParrot]

Re: Joint debt - 2 separate SD

This is connected to ongoing Mort shortfall SD issued to me and wife(not yet officially been served)

Is it true that although the debt is in joint names(as both on mortgage) that a SD and subsequent bankruptcy of a person is liable for 100% of the debt?
and
if 1 person gets made bankrupt from a SD, and is liable for 100% of debt, what happens to the 2nd person(my wife) ? will they pursue bankruptcy for her? if so why? as debt is already covered 100% under my bankruptcy

With joint debts, they can pursue either debtor for the full amount of the debt. If one of the joint debtors goes bankrupt, the other one would still be liable for the full amount. If you include the debt in your bankruptcy, she would be pursued for 100% of the debt unless she also went bankrupt.

[time2burn]

Re: Joint debt - 2 separate SD

thankyou
so they would get 200% of debt?
if both were chased and for debt and both made BR for same debt- then they get 'paid' twice?

is that correct?

[nemesis45]

Re: Joint debt - 2 separate SD

NO! As FP explained the debt is owed jointly and severally, if party A fails to pay party B will be pursued and vice versa.

nem

[wales01man]

Re: Joint debt - 2 separate SD

If you go bankrupt and after priority creditors are paid if there is nothing left they get 0% from you same if the OH goes bankrupt same .