What is a notice of disassociation?

If you have shared finances with somebody in the past, they might show up on your credit record. If you don't want this to happen, you can apply for a notice of disassociation.

A notice of disassociation is something you can put on your credit report to let lenders know that you’re no longer financially associated with someone. You can get Equifax, Experian & TransUnion to add a notice of dissociation to your report by filling in a dispute form (of sorts).

You may not have heard of financial disassociation, but it can make a real difference to you if your current or ex-spouse or partner starts to incur a high level of debt.

Why?

Because it can affect your ability to get credit in the future too.

If your current or ex-partner or spouse has lots of debt, or they’re paying late, part-paying or missing payments out altogether, it doesn’t directly affect your credit score, but it is something that the new lender will look at. The lender may see this as a red flag and decide that lending you any more money is too risky.

Applying for disassociation is easy to do! This allows you to remove the link between you and your ex, so that their financial issues no longer affect your chances of getting credit. You can access the forms you require here:

Experian

Call credit

Equifax

Grooming for Cash

Grooming is the predatory act of manoeuvring another individual into a position that makes them more isolated, dependent, likely to trust, and more vulnerable to abusive behaviour.

Adult grooming is correspondent to child grooming and applies to any situation where an adult is primed to allow him or herself to be exploited or abused. It happens online and in real life.

A “groomer” skilfully plays with words, learns to identify what the perceived victim wants to hear, and uses this knowledge, for personal gain, to direct and to keep the focus of her attention exclusively to meeting his emotional and physical needs — at the expense of her own.

In this sad case picked up from the US … not sure what this type of fraud is called.

"In our less than seven-month marriage, my then-husband schemed and scammed between $60,000-100,000 from me. In the almost year-long courtship, he groomed me.

"I'm about the fifth or sixth person he's scammed, and I got out pretty quickly — but I'm in so much debt because of him. I'm trying to save my credit and make payments while hoping I'll recoup some or any of my money through the legal system."

— Anonymous, 39, submitted with permission by Joseph A. Davis of Fit Divorce Planning

Tenants in Common vs Joint Tenants

In terms of estate planning … when you buy a property with another person or people, you'll either buy as 'tenants in common' or 'joint tenants'. As joint tenants, each person owns the whole of the property - or put another way, each person has a 100% stake in the property's value.

In the eyes of the law, you must act as a single owner.

That means you'll need to get one joint mortgage to cover the value of the whole property. If one of you dies, your part of the property automatically passes to the other owners. You can't leave part of the property to someone else in a will. You must all agree if you want to sell the property. Married couples that own property together would typically be joint tenants.

As tenants in common, you can all own a separate share of the property, and these shares don’t have to be equally sized - so for example, you may own 50% of a property, while each of your two children owns 25%. Each owner can also leave their share of the property to whoever they choose in a will when they die.

In theory, each owner can mortgage their part of the property separately. But, few - if any - mortgage lenders would be willing to agree to this so you will still normally need to take out a joint mortgage. As with joint tenancy, you must all agree if you want to sell the property. This type of joint ownership is typically used by friends or relatives who are buying together.

You can change from being either:

There’s no fee to do this. You can also change from sole ownership to tenants in common or joint tenants, for example, if you want to add your partner as joint owner. This is called transferring ownership.

Take proper legal advice on the options available before changing to tenants in common.  Make sure you understand exactly all the implications before changing the way in which you own your property.

Courtesy of WHICH, a simple table to explain what I’ve now picked up from talking to the financial types around me.

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