Unstable Wife's Finances

[Distraught]

What is the name of your state? Pennsylvania

My wife is emotionally unstable (has PTSD) and has charged over $10,000 to her credit cards, plus left various other bills in her name unpaid. She is living in another state and it has been very difficult for me to get her to focus on the financial disaster she has created.

My question is: Since both of our names are on the deed to our home (even though I pay the mortage), are my assets threatened (ie., home) if/when a debt collector catches up with her?

 

[Zephyr]

What is the name of your state? Pennsylvania

My wife is emotionally unstable (has PTSD) and has charged over $10,000 to her credit cards, plus left various other bills in her name unpaid. She is living in another state and it has been very difficult for me to get her to focus on the financial disaster she has created.

My question is: Since both of our names are on the deed to our home (even though I pay the mortage), are my assets threatened (ie., home) if/when a debt collector catches up with her?

yes, any assests in her name can have leins place against them, you may want to run a credit check on yourself to make sure your name is not associated with those credit cards----or anything else she may be doing.

 

[Distraught]

Worried about assets

Pennsylvania

Thank you —*that's a good point. I've never done a credit check before, but see these things advertised all over. Is there a particular method for an efficient (and safe, I always worry about submitting info for this kind of thing) way of getting a credit check? Is it free? If not, what would the "average" cost be (so I don't get taken for a ride...). Thanks, again.

 

[Distraught]

Follow-Up (removal of name from deed)

Pennsylvania

I forgot to ask this key question: Can I (should I?) remove my wife's name from the deed to our house, even if we are still married? My big fear is that since the deed is in both of our names, her instability could pose a direct threat to our home.

 

[Zephyr]

Pennsylvania

Thank you —*that's a good point. I've never done a credit check before, but see these things advertised all over. Is there a particular method for an efficient (and safe, I always worry about submitting info for this kind of thing) way of getting a credit check? Is it free? If not, what would the "average" cost be (so I don't get taken for a ride...). Thanks, again.

I don't know which places on the web are safest, you might want to ask your bank to do it.

 

[Zephyr]

Pennsylvania

I forgot to ask this key question: Can I (should I?) remove my wife's name from the deed to our house, even if we are still married? My big fear is that since the deed is in both of our names, her instability could pose a direct threat to our home.

I don't know if you can just arbitrarily remove her name, I don't think so, anychance of her signing a quit claim?

 

[LdiJ]

I don't know if you can just arbitrarily remove her name, I don't think so, anychance of her signing a quit claim?

He could refinance into his name only, and refinance for enough to buy out her share of the equity. That would likely induce her to sign a quit claim. If PA law allows for legal separation, doing it as part of a legal separation would probably be the best way to protect his assets.

 

[AHA]

Pennsylvania

Thank you —*that's a good point. I've never done a credit check before, but see these things advertised all over. Is there a particular method for an efficient (and safe, I always worry about submitting info for this kind of thing) way of getting a credit check? Is it free? If not, what would the "average" cost be (so I don't get taken for a ride...). Thanks, again.

I believe you are entitled to one free credit report every year. Take advantage of that every year from now on.

https://www.membershipme.com/freecreditreport.asp?ID=afmidmfcr003&siteid=1371879

 

[Distraught]

What's a "Quit Claim"?

Pennsylvania

I had a long conversation with my wife about this today and she has agreed to have her name removed from the deed, if that will help protect me from her creditors. But I'm not sure what a "quit claim" is exactly —*is this something I would get from a lawyer's office, my bank (or, where the mortgage is held), or where?

Thanks again.

 

[Bali Hai]

Pennsylvania

I had a long conversation with my wife about this today and she has agreed to have her name removed from the deed, if that will help protect me from her creditors. But I'm not sure what a "quit claim" is exactly —*is this something I would get from a lawyer's office, my bank (or, where the mortgage is held), or where?

Thanks again.

Get off the computer and get a lawyer if you don't have one.

Get the quit claim deed drafted and GET IT SIGNED!!

What the h*ll are you waiting for????

 

[LdiJ]

Pennsylvania

I had a long conversation with my wife about this today and she has agreed to have her name removed from the deed, if that will help protect me from her creditors. But I'm not sure what a "quit claim" is exactly —*is this something I would get from a lawyer's office, my bank (or, where the mortgage is held), or where?

Thanks again.

I would strongly recommend that you also refinance the house so that the mortgage is also in just your name. That, combined with a quit claim deed would remove all trace of her from the home. The title company would handle the legalities, but you would need an attorney to draw up the quit claim deed.

 

[kaym]

A quitclaim deed is a very simple form you can usually find at the courthouse or a legal stationery store and fill out yourself. You can also find free copies by doing a search on the net that you can print out. HOWEVER, an attorney would be a good idea first, for several reasons. You may need a release of mortgage, for one thing, but you also will need to know if you may be held responsible for some of these debts as a family expense - depending on what she charged. Food and clothing would be examples, while luxury items would not. Necessary expenses would be a marital responsibility you might be liable for no matter what name the house is in. Also, you are equally responsible if these are credit cards you applied for jointly.

Lastly, remember that the debts were incurred while the home was still half in her name. Make sure that her making a gift of the house to you would not be viewed as fraud in order to avoid creditors. There IS a paper trail easily found by creditors.

 

[kaym]

I left out that IF these are joint cards you should immediately contact the bank or cc companies involved to notify them that you are not authorizing any debt beyond that which has already been incurred. Then follow it up in writing or ask for a written confirmation of notice.

 

[Bali Hai]

A quitclaim deed is a very simple form you can usually find at the courthouse or a legal stationery store and fill out yourself. You can also find free copies by doing a search on the net that you can print out. HOWEVER, an attorney would be a good idea first, for several reasons.

He clearly needs an attorney.

You may need a release of mortgage, for one thing, but you also will need to know if you may be held responsible for some of these debts as a family expense - depending on what she charged. Food and clothing would be examples, while luxury items would not. Necessary expenses would be a marital responsibility you might be liable for no matter what name the house is in.

Absoultely. And any "luxury" items should be viewed by the court as a wasteful disposition of martial assets.

Also, you are equally responsible if these are credit cards you applied for jointly.

AND any cards soley in her name.

Lastly, remember that the debts were incurred while the home was still half in her name. Make sure that her making a gift of the house to you would not be viewed as fraud in order to avoid creditors. There IS a paper trail easily found by creditors.

THAT is why he needs an attorney. YESTERDAY.

 

[zippysgoddess]

Yes, Pa allows for a legal seperation, get an attorney, get it filed, then make sure everyone is told that you are seperated from her, all financial institutions and etc. To make sure you aren't held responsible for anything else she does.