Australia's #1 for Law

Join 150,000 Australians every month. Ask a question, respond to a question and better understand the law today!

Pensions Paying for Aged Care - What Happens to Loan?

Discussion in 'Debt and Bankruptcy Law Forum' started by monarto, 3 September 2016.

  1. monarto

    monarto Member

    Joined:
    13 June 2015
    Messages:
    3
    Likes Received:
    0
    I am 72 years of age, have severe Parkinson's disease, am a Viet Vet, and have no income or assets. I have a house shared with my wife. We are separating. I am going through the process of entering an aged care facility. My wife's wages precluded me from having a pension but once the separation goes through I receive a service pension. I do have an existing small disability support pension. These two pensions will pay for the facility.

    My wife will retain the house.

    In or around 2005, I borrowed $50.000 Equity Access Loan with the house as security. I have paid the monthly interest rate from my wife's carers allowance.

    Now that I have to pay the aged care facility I have no cash to pay this loan or interest on the loan any longer.

    What can I do?
     
  2. Sophea

    Sophea Well-Known Member

    Joined:
    16 April 2014
    Messages:
    2,400
    Likes Received:
    366
    Is the loan solely in your name? If the house is still security for the loan then ultimately if you don't pay it they can take the house and sell it. Have you negotiated with your wife that she will get the house? Has this title transfer been done yet?
     
    Stop hovering to collapse... Click to collapse... Hover to expand... Click to expand...
Loading...

Share This Page

Loading...
gt;