Hoping that someone can help in answering my question. 2 loans were taken to purchase house. loan 1 was taken by my husband and myself for the deposit which gave us a 20% share in the property as tenants in common. loan 2 was taken by my daughter and her partner for the remaining amount. They each have 40% each
If daughter and partner default on their loan are we responsible to cover the repayments for them. All of our names are on the banks statements for my daughters loan, I do not understand why this has occurred as we were not on the loan application for their share of the house. My and my husbands names are the only names on the banks statements for the refinancing loan which we applied for.
During the loan application process it was specified to the mortgage broker that in no way were to be held responsible for her loan, however when they previously defaulted by several months the bank took my money from my accounts to catch the payments up. Should they have been able to do this. Any information on this wuld be welcome as we are nearing retirement and very worried that we will be left paying everything. If the house were to be sold and didn't realize the amount on my daughters loan would my husband and I be liable to make the payments.
It is worrying that when we bought our current home at the age of 55 the bank requested a letter advising how would we service the loan when we retired, however, at the age of 60 (when we refinanced) this was not taken into consideration for this loan. There are other factors involved and would like to know if there is any recourse to take this matter further as our mortgage broker and bank associates did not act in the best interest of all the parties. My daughter had previously been bankrupt and was on the bad debtors list when the loan was approved.
Is there anything we can do to either get our name off their loan statements and title. The original agreement with my daughter was that they would cover both loans but we are now covering the majority of the loans as they cannot aford to pay.
If daughter and partner default on their loan are we responsible to cover the repayments for them. All of our names are on the banks statements for my daughters loan, I do not understand why this has occurred as we were not on the loan application for their share of the house. My and my husbands names are the only names on the banks statements for the refinancing loan which we applied for.
During the loan application process it was specified to the mortgage broker that in no way were to be held responsible for her loan, however when they previously defaulted by several months the bank took my money from my accounts to catch the payments up. Should they have been able to do this. Any information on this wuld be welcome as we are nearing retirement and very worried that we will be left paying everything. If the house were to be sold and didn't realize the amount on my daughters loan would my husband and I be liable to make the payments.
It is worrying that when we bought our current home at the age of 55 the bank requested a letter advising how would we service the loan when we retired, however, at the age of 60 (when we refinanced) this was not taken into consideration for this loan. There are other factors involved and would like to know if there is any recourse to take this matter further as our mortgage broker and bank associates did not act in the best interest of all the parties. My daughter had previously been bankrupt and was on the bad debtors list when the loan was approved.
Is there anything we can do to either get our name off their loan statements and title. The original agreement with my daughter was that they would cover both loans but we are now covering the majority of the loans as they cannot aford to pay.
