Real Answers for Life’s Money Challenges
My husband and I recently bought a house.
Im on the title with him, but not the loan.
Rather, what are the pros and cons about not being named on our home loan?
This typically shows up when one spouse has a lowcredit scoreor has substantial debt thats in their name only.
Of course, this is a decision thatspouses should make together.
But you didnt ask how angry you should be at your husband.
Your question is: How mad should I be about the repercussions?
I dont see any dire consequences for you as the result of his decision.
Theoretically, this could even work in your favor.
Because youre on the deed of the house, you own 50%.
But because youre not on the mortgage, youre not liable for this debt.
Realistically, though, Im not sure how much that matters.
Otherwise, I can think of two possible drawbacks for you.
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But that will be up to the banks discretion.
Regardless, its essential that you maintain a credit history in your own name.
Financing a purchase in one spouses name makes sense in some circumstances.
But both spouses need to be comfortable with that arrangement.
Robin Hartill is a certified financial planner and a senior writer at The Penny Hoarder.
Send your tricky money questions to[email protected].
