Subscribe to two a credit is practical. But in the event of separation or disappearance of one of the two people, the complications begin. Here’s how to avoid disappointments.
A loan contracted with two offers many advantages: stronger solvency, possibility of borrowing more … The landscape darkens as soon as the two co-prunters decide to put an end to their agreement. Indeed, the credit cancellation procedure is complicated. Moreover, there is no cancellation itself. Most often, one of the two co-borrowers redeem the other’s share.
The case of the bride and groom
The fate of credit varies according to the procedure of divorce chosen by the spouses.
In the event of divorce by mutual consent
From the inventory of heritage, the spouses determine or not keep the property funded by the loan, and will take up, de facto, the burden of credit. On this occasion, the banker constitutes a new file in order to verify the banking capacity of the borrower spouse. The other pays what is called a “Soulte” as compensatory allowance. In other words, he still remains associated with the borrowing in the event of unpaid of his ex-spouse.
If the credit has been subscribed jointly and severally between the two spouses, the spouse, who abandons his title deed, must imperatively renegotiate the loan in order to be released for the future of any reimbursement. The banker free to accept or reject the request.
Co-prunters can also decide to sell the accommodation. The credit will be closed with the sale of the transfer, and possibly an additional contribution of the ex-spouses, if necessary.
In case of simple separation
In principle, the spouses remain loudly required to reimburse the credit. However, the person, who no longer benefits from the use of the funded property, can request a discharge of this responsibility. Acceptance of the banker is based on the capacity of the other spouse to assume, alone, the payment of monthly payments. In case of refusal, there is no possibility of cancellation of the loan. If a request for separation is made through a notary, its entry into force will take place once the divorce has been pronounced and on the condition that the funded housing is awarded to one of the spouses.
The case of pacsés
In the frame PACSthe two cohabiting parties are also jointly liable for loan reimbursements, even if the loan is only taken out by one of the two interested parties. But in the event of separation and extinction of the PACS, this solidarity no longer exists. To avoid any dispute, it is better to indicate in the act of purchase which part represents everyone’s contribution in credit.
The case of free union
In free union, the situation is quite close to that of a PACS couple insofar as the two spouses are in solidarity with the reimbursement of the debt. However, this solidarity never fades since the union is not materialized by a contract. Consequently, there is no breach of contract and therefore no end of solidarity. Again, it is advisable to indicate everyone’s contribution in obtaining credit.
The death of the spouse
On the death of one of the two spouses, the surviving husband finds himself reimbursing the credit alone, unless death-in-law insurance has been taken out. In this case, it can take care of all or part of the balance of the loan.
In the absence of sufficient coverage, the surviving co-borrower must at best negotiate a re-engagement of monthly payments or at worst the sale of the property acquired to settle the credit.
In all cases, the cancellation of a loan is based on the assessment of the credit institution which granted the credit.
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