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Repair Credit from Divorce


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After my divorce was final - there were certain debts that were assigned to myself and my ex in our legal divorce agreement.

According to our divorce agreement we agreed to hold each other harmless of all debts that were assigned to us individually - I took care of all debts assigned to me, however the debts that were assigned to my ex were in my name: Credit cards and a house loan. I signed over the title to one of my houses the loan remained in my name - expecting the payments to be kept current. Two credit cards debts (in my name) were also assigned to my ex.

These agreements were not kept by my ex and now I have several late payments from the house loan (my ex's house - title in my ex's name, loan in my name) that are on my credit report as well as late payments and settlements from the credit cards assigned to my ex.

How would I go about repairing my credit score?

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Not a lot oof answers for you, I'm afraid. The really bad news is that none of your creditors (our your ex's for that matter) care anything about your divorce decree. Divorce law and credit law don't really talk to each other.

I think you have two basic choices...

1. Get your name formally removed from any debt you're not paying on.

2. Take over the debts completely and get your ex removed.

The bottom line is the effects from a divorce follow you for a long time...

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"...How do I go about repairing my credit score..."

You don't. As you have posted, the accounts are "in your name". That means they are yours. You get all the history, debt-to-income ratio and penalities (if they are paid late or default). There is no way to "repair" this. But you do need to correct the situation, for the future, now that you know the reality.

All joint accounts need to be closed. Any account "assigned" (by the divorce decree) to your ex-wife should be re-opened as her account; same for any "assigned" to you. That way, each of you is responsible for your respective debts and will get the credit score you each deserve.

"...I signed over the title to one of my house the loan is in my name..."

Did you sign a Quit Claim Deed? Deeds relate to your rights to a property, NOT to the loan on that property. So, essentially, if you sign a Quit Claim Deed, you forfeit your rights, yet retain liability for paying off a loan. Not exactly the wisest thing to do.

Like millions of Americans, you've ended up in a financial mess by going through the normal motions of a divorce. Creditors don't care about your marital status. They only care about getting repaid. Do yourself a favor and research, research, research. There is a wealth of information here and on the internet. I wish you luck!

PS. You may have recourse against your ex-wife for not following the terms of your divorce (through family court). This would have no bearing on your credit, however, but may bring some satisfaction.

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I had a quit claim deed with my ex. I got the house. I had a couple 30days lates about 1 year later and and it showed up on his report. When he had his credit pulled and found out I called the loan company and they had me send a copy of the quit claim deed.

We actually had to have the title changed to my name only and it states he sold me his half for $10. The loan company then took his name off. I had to pay the title company about $150 or so.

I am also a nice person so I went through the extra trouble of writing letters to the CRA's showing them a copy of the original Quit Claim deed and stating that the lates were my fault and not to count them against him. The loan is still showing on his report but states closed and "pays as agreed" with no lates.

now I am hoping he will do the same for the car I co-signed for that he got and let go into a charge off/settled for less than full payment.

Here is what Equifax said when I said the car belonged to my ex when disputing it with them...

You have indicated that certain accounts are involved in a divorce decree and are the responsibility of another party. Please be aware that a divorce decree does not supersede the original contract with the creditor and does not release you from legal responsibility on any accounts. You must contact each creditor individually and seek their legal binding release of your obligation. Only after that release can your credit history be updated accordingly.

If such accounts are still open and available for credit use, then it is prudent to urgently resolve those responsibilities. Once resolved, the creditors should properly update that on your Credit Report during their next reporting cycle to us. If the update has not yet occurred and you have documentation of the release from the creditor, you can provide that material to us via the mail (address listed on your credit report).


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