question category: Bankruptcy

Loan on a joint account


We have a loan on a joint account but only one of us signed for the loan, if the party who signed for the loan files for bankruptcy will the other become liable for the debt.

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Re: Loan on a joint account

If the loan is in only one name then only that person is liable for it unless another person has given a guarantee.

If the person owing the money goes bankrupt they should make sure they have their name taken off the joint account and they should open a new account with someone else.

"Joint and several liability" is the technical term for debts in joint names. It can be a bit confusing sometimes. If you want to talk about your situation by all means click on my name and email me at Debt Advice Foundation.

 

Re: Loan on a joint account

I have a car loan with my wife about a year ago, Checking my credit report now I discovered that the same amount appears on credit report of both of us, there fore affecting both credit score. is this right? I think at the worst the amount should have a 50% effect on each person's credit.
Can you please advise

 

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