Joint & Several Liability

If you have taken out a joint loan, credit agreement or bank account, all parties who signed are responsible for any debt that you run into. This means that even if the debt is not your fault, the creditor can still ask you for the money.

The creditor can not claim back the money owed twice, but can look to one or all members of the party for repayments until the debt has been settled.

Joint and several liabilities may also apply to joint mortgages, rent arrears where there is a joint tenancy, Council Tax, and water rates where there is joint occupation of a property.

Excluding Council Tax, all joint and several agreements must be signed for by all members of the party. If a company claims that you are liable for a debt, ask to see the original agreement. If you did not sign, you should not be liable.