Can debt for one partner mean both partners have to sell house?

[blackvelvet]

Hello people

My other half has a decent sized debt - our house is owned jointly, and we both live in the property, and the debt is not in my name - if the debt collectors win the argument is our house in danger from them?

Many thanks

[FlamingParrot]

Re: Can debt for one partner mean both partners have to sell house?

My other half has a decent sized debt - our house is owned jointly, and we both live in the property, and the debt is not in my name - if the debt collectors win the argument is our house in danger from them?

Many thanks

First of all, if the debt is not secured on the property, then there's no reason why the house should be sold. A creditor can secure a debt on a property after obtaining judgment in court (a CCJ) against the debtor. If the debt is in a sole name and the property jointly owned, the creditor can record a restriction, which basically means the property cannot be sold without notifying the creditor.

Before moving forward, can you give us a few more details about the debt in question? What is it and which debt collectors are involved? What's the argument? Has your OH been taken to court for this debt already?

[blackvelvet]

Re: Can debt for one partner mean both partners have to sell house?

Hi FlamingParrot
Thanks for the reply. The debt is from a credit card, the amount is around £13000, the debt collector is IDR Finance. They have issued a county court claim form. All is being contested as not guilty on all counts & have sent letters to this IDR requesting the original agreement etc. The debt is in a sole name and the property is jointly owned.
Thanks

[Kafka]

Re: Can debt for one partner mean both partners have to sell house?

A court is highly unlikely to issue an Order of Sale following a CCJ for an unsecured debt, providing there is some arrangement in place for repayment according to your means. I once heard a judge say that the only times he had ever granted an Order of Sale was where the defendant had adamantly refused to agree to payments of any kind. It's different - of course - where the debt is for a mortgage that is secured and usually much bigger.

The fact that its a joint ownership and single debt makes it even less likely. Should they get the CCJ the best they can get is a Charging Order that meanst he debt would be paid upon house sale or an Attachment of Earnings.

[FlamingParrot]

Re: Can debt for one partner mean both partners have to sell house?

Hi FlamingParrot
Thanks for the reply. The debt is from a credit card, the amount is around £13000, the debt collector is IDR Finance. They have issued a county court claim form. All is being contested as not guilty on all counts & have sent letters to this IDR requesting the original agreement etc. The debt is in a sole name and the property is jointly owned.
Thanks

Presumably you have also sent the CPR 31.14 request letter. :noidea:

[blackvelvet]

Re: Can debt for one partner mean both partners have to sell house?

Hi - thanks very much for your help - yes have sent the CPR LETTER & also the CCA letter