Zero account Balance??

[GlimmerofHope]

Hi there,

In 2008 I co-signed on a secured loan with Welcome - my ex-husband needed the money for personal debts (lesson learned!) The money (a cheque made out in his name) was debited into his personal bank account and as the loan was 'his' he made the payments each month.

Following our divorce, the judge 'awarded' me the house and the secured Welcome loan. I have been paying the loan for the past 1.5 years but have had a few difficulties with Welcome and so sent them a SAR. The information I received from them included a 'statement of arrears' with a Nil Balance and the words 'Account Closed'. I checked the account number on that document with the one I have now and saw that the account I'm paying for now has a different number.

I only signed one loan agreement. The date of this and the opening of the original account (plus the date of the charge placed on the house) all fall within the same month. They haven't supplied me with a second signed loan agreement for the new account - opened two months after the original one (there won't be one). Does this mean that I could challenge the validity of the current account and send the 'arrears statement' to Land Registry to have the charge removed?

Can WF legally pay off one account and open a new one without a new agreement?

Thanks

[GlimmerofHope]

Re: Zero account Balance??

Hi there

Is there really no-one out there that can help???

[PlanB]

Re: Zero account Balance??

Hi there

Is there really no-one out there that can help???

Hello GlimmerofHope and to Legal Beagles

Of course we can help :grouphug:

I think the big question is did Welcome close the original 'joint' secured loan account and then open a whole new account in your sole name. Or did they simply remove your ex from the original account :noidea:

[PlanB]

Re: Zero account Balance??

In 2008 I co-signed on a secured loan with Welcome - my ex-husband needed the money for personal debts (lesson learned!) The money (a cheque made out in his name) was debited into his personal bank account and as the loan was 'his' he made the payments each month.

. . . . . I only signed one loan agreement.

^^^^ this is the bit I'm struggling to understand Was it a loan in sole or joint names from the start?

[GlimmerofHope]

Re: Zero account Balance??

Thanks Plan B.

Sorry for the confusion: The original account was in joint names. The statement I have received (via a SAR) shows that this account was paid off in full, showing a closing balance of £0.00. The 'new' account must (I presume) also be in joint names because Welcome are keeping in contact with us both. I have requested a copy of the signed loan agreement for this new account (because I know there won't be one) but I'm pretty sure that Welcome will take their sweet time and if they respond give me a load of bull. I just really want to be prepared in knowing if they can legally open a new loan account without having a new, signed credit agreement...