Joint mortgages being used as 'weapons' for domestic abuse in 'hidden crime', charity warns

Joint mortgages can be used as a “weapon” by domestic abusers against their current or former partners, a charity has warned.

A report by Surviving Economic Abuse (SEA) said survivors of domestic abuse have been left with mortgage arrears, low credit ratings, and housing and economic insecurity.

At times, they said abusers have made their victims homeless by refusing to pay, agreeing to new terms, or selling up a joint mortgage.

One woman told the charity she is still in a joint mortgage with her former husband despite leaving him a decade ago.

“I can’t sell the property without his permission and, at any point, he can use his position to stop me from making mortgage repayments by withholding child support payments,” she said.

“Me and my children remain trapped in a mortgage prison with no way out.”

Sam Smethers, interim chief executive of SEA, has now called for new laws to protect victims and for financial services firms to make it harder for perpetrators to use joint mortgages to cause harm.

“Mortgage abuse is a hidden crime that’s destroying the lives of hundreds of thousands of survivors,” he said.

“Right now, banks are limited in what they can do to stop abusers from causing a lifetime of debt and homelessness for survivors.

“While banks can do more to support survivors within current rules, only an urgent law change can stop abusers from destroying lives.

“We urge the government to set up an economic abuse task force to prevent abusers from weaponising joint mortgages.”

The report – called Locked into a Mortgage, Locked out of my Home – referenced a survey by Opinium of more than 1,000 women who had a joint mortgage, carried out in the last two years.

It found 78% of women who experienced mortgage abuse from a partner felt unable to leave for fear of an unsafe living arrangement.

One in eight women – or 12% – said they experienced at least one aspect of abuse, and nearly half – 49% – said they had to cut back on essentials to cover their mortgage repayments.

Nine in 10 said their mental health suffered as a result of mortgage abuse, with 89% of respondents saying they experienced anxiety, depression, panic attacks or suicidal thoughts.

Fiona Turner, head of vulnerability policy at UK Finance, said: “We know that more needs to be done with support from regulators and government.”

She added UK Finance has recommended mortgage lenders “review their policies to allow more flexibility when a victim-survivor is dealing with issues around an existing joint mortgage as lenders must currently show an equal responsibility to both borrowers”, and said a government task force is needed to address legal issues for lenders.

A government spokesperson said: “We recognise the devastating impact financial and economic abuse can have on victims, which is why this year we are providing £200,000 to Surviving Economic Abuse to raise awareness and support victims.

“The numbers in this report, which we are now considering, are stark and show how vital our mission to halve violence against women and girls in a decade is.”