I was worried that me remortgaging "in joint names" two years ago to pay off my own creditors would undermine a declaration of trust I had drawn up when I transferred the house to my wife this year when we came off a fixed rate deal.
I have been informed that the debt has nothing to do with the beneficial interest. i.e. an IP couldnt say "hey, you remortgaged in joint names so it must be a joint asset" as one IP told me before I went BR. Just because the debt is in joint names, this has nothing to do with the beneficial interest which would be decided on other factors. In other words, we remortgaged to pay my debts and in doing so I effectively withdrew my interest out of the house, so the equity was my wifes, but the debts were joint.
Is this differentiation of debt versus equity a valid point in law? I know I have been prattling on about this in my equity of exoneration thread, but this is a separate issue I just wanted some clarification on if anyone can help.
Beneficial Interest and Joint Debt
Posted - 27 May 2008 : 17:09:14
