Hi graeme7171,

Your wife's personal credit rating will not be affected by your Trust Deed.

Your wife's credit rating may however display a "link" to you and your rating. This is because you live at the same address and have connected financial affairs.

A lender may decide to take this link into account when making a decision about whether to lend to your wife. This depends upon their criteria and processes.

The only way to find out the effect will be if your wife goes ahead and applies for a loan.

Thanks for this.

I appreciate you may not be able to provide financial advice etc,however, would a secured loan be looked favourably compared to a un-secured?

Hi graeme7171,

If there is equity in your home your Trustee may need to be involved in any decision to release equity.

Perhaps one of our experts could explain how this would work...

Ok,

The loan would be solely in my wifes name and for her only.

That may be the case graeme7171 but as the house is jointly owned your Trustee likely has an interest in your share of the equity (provided that there is equity).

They would probably not wish that your wife take out a secured loan that releases equity that otherwise might have been available to repay part of the debt in the Trust Deed.

There is no equity at this moment in time. Thank you for your comments.

I think in that case graeme7171 it almost certainly would not be possible to get a secured loan anyhow.
A while ago secured lenders were happy to provide secured loans at more than the value of a house but I'm not aware of any that do this currently.

In terms of an unsecured loan the best thing would simply to make an application if that is what you wish to do. Even if one lender were to say "no" another may well make a different decision.