Another question about finances

[Nemoralis]

My boyfriend and I have lightly discussed marriage in the future (considering getting engaged by the end of next Spring when he graduates college). Before this, I thought that I didn't want to get married because I was in a terrible motorcycle accident 6 months ago that left me with a lot of debt (my health insurance had been dropped only a few months prior).

 

I don't know what my credit is, but it can't be good because of this. My boyfriend, however, has excellent credit. I am responsible with money but I'm sure my credit will be ruined for a while. I figured if we stayed unmarried, we could put houses and whatever else in his name and I would just pay him half.

 

If we DO get married, how will my debt/credit affect us?

[Thaddeus]

First of all, bummer about the motorcycle accident, double-bummer about your insurance being dropped. Too bad Obama's plan is getting sidetracked by right-wing ideologues - this is exactly the type of situation that would be addressed by it.

 

But I digress...

 

You can check your credit rating. Set up a meeting with your banker. They do this sort of thing every day.

 

As far as how bringing this debt into a relationship will affect things, best talk with an accountant. It may be different in different jurisdictions so I don't think a generalized answer will be of much use.

[Vet]

My boyfriend and I have lightly discussed marriage in the future (considering getting engaged by the end of next Spring when he graduates college). Before this, I thought that I didn't want to get married because I was in a terrible motorcycle accident 6 months ago that left me with a lot of debt (my health insurance had been dropped only a few months prior).

 

I don't know what my credit is, but it can't be good because of this. My boyfriend, however, has excellent credit. I am responsible with money but I'm sure my credit will be ruined for a while. I figured if we stayed unmarried, we could put houses and whatever else in his name and I would just pay him half.

 

If we DO get married, how will my debt/credit affect us?

 

If you were to get married, your credit reports/ratings don't just merge just by virtue of saying "I do". If you decided to go in on a loan together (whether married or not), they would check both of your reports, and if there negative items on yours that prevented the loan from being authorized, you would probably be declined as a couple. However, if you were married (or not), and you decided to go in on a house together, but only have the loan signed in his name, only his credit would be checked.

 

I would not advise, under any circumstances, to get a house together that you're both paying for under only his name. Protect yourself from a huge liability, no matter how much you trust him.

[Nemoralis]

Is it possible to have the house in both of our names but the loan only in his name? (Sorry I don't know much about this).

[Sweetcheripie]

I would check your credit - instead of guessing and start working on repairing it now. Medical expenses don't always go on the credit report - as long as you pay a few dollars a month on medical bills they aren't reported. So it may not be as bad as you think.

 

You will be amazed how much you can repair your own credit within a couple of years. Even if you do not get married this is a really important thing to do for yourself.

[Sweetcheripie]

Is it possible to have the house in both of our names but the loan only in his name? (Sorry I don't know much about this).

 

 

If he buys the house BEFORE you get married and qualifies completely on his own then the loan will be in his name only. After you get married he can add you on to the Deed of Trust (In California, this is easily performed through a Title Company) Once your name is added to the Deed you will be responsible for the loan too but they will not look into your credit unless you decide to refinance or take out a home equity etc.