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Partners adverse credit

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danroll | 15:47 Fri 05th Oct 2007 | Personal Finance
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if my partner has adverse credit and i take out a mortgage with her. will i 'inherit' her bad credit?
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Her bad credit will restrict the kind of deal you can obtain.

What has she got, what loan to value do you need?
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i know that,

what i mean is if we enter into a credit agreement with each other, will we both share each others poor past credit.
It will create a "financial relationship" between the teo of you that will appear on your credit record for 6 years. Her adverse credit will affect your ability to get credit in the future due to this link.
not really, there are ways around it, contact equifax and experian.
If your partner has bad credit and you have good and you enter into a financial agreement together - you don't automatically inherit her bad credit name I don't believe. However, you are linked by the agreement so should her bad credit continue - you'll be linked in that way as it'll be under both of your names.

If for example, your partner is �10K in debt and you take out a mortgage, I believe she could add another �10k on to the mortgage to pay off the debt and you can have something written into the mortgage by the solicitors that the additional �10k belongs to her - and it can be worked out that she has to pay slightly extra than you per month for the repayments.

That's only my guestimate though - if you're never sure with these things it's always best to speak to somebody like an independent financial adviser, as they'll be more aware of how it works.
ps - when I mention about the bad credit continuing, I meant that if her part of the repayments are not kept up on the mortgage - and you can't pay her portion then you'll be in arrears if you fall behind.
For fear of repeating myself-

It will create a "financial relationship" between the two of you that will appear on your credit record for 6 years. Her adverse credit will affect your ability to get credit in the future due to this link.
earsugar - your suggestion only applies where two people (or more) live at the same address with NO financial relationship - independent house sharers, for example.

It will not work where they do have a financial relationship, such as a joint mortgage.

Everclean is quite correct.

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