Welcome to our monthly Q&A session, where we shine the spotlight on some of the questions we get asked by our Noddlers.
This month, we’re taking a look at relationships and how they can affect your credit score. Specifically what to do if a relationship ends and you’re financially linked to your ex-partner.
What’s a financial association?
A financial association is when you’re linked to somebody else financially.
This happens when you enter into a joint financial agreement. This could be the result of having a joint account, a joint credit agreement, a joint mortgage or a joint utilities contract for example.
You can also be financially associated to someone if you’ve acted as a guarantor for them.
When you’re financially associated with someone your credit reports are linked. For example, if you’re applying for credit, lenders may check both people’s credit reports before making a decision.
I’ve broken up with my partner. Is it ok to leave the financial link on my credit report?
You may think it’s harmless to leave the financial link on your credit report but you need to be wary. If your ex-partner has debts that you didn’t know about, or gets into debt after you’ve split up, it could affect your credit score. And this may mean that if you apply for credit in the future, you could be turned down because you have that financial link still.
When can I remove the financial link with my ex-partner?
Removing a financial link is known as financial disassociation. You can ask for any financial links with an ex-partner to be removed if:
- You no longer share a bank account or any other credit agreements (including any outstanding debt)
- You don’t live together
- You have separate and independent incomes
- You haven’t got any other shared financial link
How do I request to be financially disassociated from my ex-partner?
If you want to disassociate yourself from an ex-partner or anyone else you’ve had a financial link with, you can do this at noddle.co.uk.
Sign up or log in if you’re already a member.
When you’re logged in, go to ‘My credit report’ and then select ‘Connections & Other Names’ from the left hand menu. Anybody you have a financial association with will show here. If you wish to disassociate from that person and are in a position to do so, click on the arrow to the right hand side of any connections.
You’ll then see a button marked ‘dispute’. If you click on that, you’ll be able to give us the full details of the dispute. This will then be passed over to our disputes team, who’ll look into things and get back to you within 28 days.
You can also follow the progress of this in the ‘My account’ section of your report.
We hope you found this useful. If you’ve got any more burning questions that you’d like to be answered next month – get in touch by messaging us on Facebook @noddleuk or tweet us @useyournoddle.