Posted on: 01st Aug, 2008 10:24 am
As part of our divorce settlement my ex is signing an interspousal transfer deed. He plans on filing for bankruptcy. His name will still be on the mortgage. How will his bankruptcy effect my house and credit.
You would be better off getting a refi in your name. How the home is title is a mute point......the lender can and will foreclose. A BK does not forgive the debt...when it comes to a house. If a notice of default is filed it will be impossible for you to do anything but give up the house. You will not be able to just redeem the mortgage.
welcome rosenrotroslein .
i agree with cedric that you should refinance the mortgage when your ex sign the interspousal transfer deed and transfer the property to you. then even if you ex file bk you credit will not affect or the property.
let me know if you have any further queries.
i agree with cedric that you should refinance the mortgage when your ex sign the interspousal transfer deed and transfer the property to you. then even if you ex file bk you credit will not affect or the property.
let me know if you have any further queries.
I am concerned about re-financing now because of the interest rate. I have 5.4 now and last I looked it was 6.6. I don't think I can afford the payments. Is it possible for the mortgage company to simply remove his name?
Hi Rosenrotroslein,
Chances are very less for the lender to remove your name without a refinance. At times, they do allow for a novation but you have to ask your lender about it. One more thing, what type of bankruptcy is your husband filing? is he including the mortgage in it?
Thanks.
Chances are very less for the lender to remove your name without a refinance. At times, they do allow for a novation but you have to ask your lender about it. One more thing, what type of bankruptcy is your husband filing? is he including the mortgage in it?
Thanks.