Am I legally responsible -Home equity loan

amother

Sat, Apr 06 2013, 11:49 pm

DH took out a home equity loan a few years ago. The house is in both our names, the loan is in his name only-not sure how he managed that.

DH has mental issues, and hides bills from me. He doesn't pay them either. Most bills I have managed to find and pay, but the loan I can't get info on-they cant tell me anything because my name is not on the account. If he fails to pay, can they take my house away?

I have been able to get s/o at the loan company to accept payment from me-without her telling me exactly how much was owed. She should be sending me papers to put my name on the account. But if I am not legally responsible for the loan, I don't want to make myself responsible by putting my name on the account.

I am hoping to get divorced in the very near future.

imasinger

Sat, Apr 06 2013, 11:54 pm

I am sorry to hear of your troubles. It sounds like you have been leading a horrendous life of late.

If you are planning on a divorce, you really need a lawyer. The lawyer could answer this question.

You might also try calling the bank and asking the general question about home equity loans and what happens if there is a default. My guess is that there would be some period of time where there would be penalty charges before the house would be at risk. But please, get a lawyer. Soon!

amother

Sun, Apr 07 2013, 12:01 am

I have been making payments for years now. Its only recently that he has avoided giving me the bills he can't pay (can't work and gets no disability benefits-long story there too). I hope to ask a lawyer, but really can't afford one right now.

I am trying for a get first. Already set that in progress.

Merrymom

Sun, Apr 07 2013, 12:17 am

I found this on the internet for you but since you've been paying for years it possibly wouldn't apply as perhaps paying made you accept responsibility? I would definitely speak to a lawyer.

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Posted: Wed Jul 20, 2011 12:20 pm Post subject: Like Dislike

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"Owning" the loan is a misnomer. What can take place is this - your partner can take a home equity loan, but any lender who would do such a loan is foolish, to say the least.

Here's why...if your partner doesn't pay and the lender needs to take action against him/her, the lien that they've placed on the property will not be valid inasmuch as the two of you were not included in that transaction. That's a whole mess for a lender to get into.

Does it happen on occasion? Sure it does. Does it work out for everyone involved on occasion? Sure it does. Does it not work and cause multiple headaches all around on occasion? Sure it does.

You need to have a heart-to-heart talk with this third partner and dissaude him/her from taking such a step. It jeopardizes a lot if it actually happens.
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