Suncorp Bank has a new website.
Find out what this means for you and your digital banking experience. Visit suncorpbank.com.au
The guidelines below set out the manner in which Suncorp will:
Submissions to the 2000-2002 review of the Code of Banking Practice referred to difficulties in implementing family settlements where there are joint debts and a jointly owned matrimonial home. In particular, the difficulties related to obtaining a bank's consent to the transfer of jointly owned property with a related mortgage to one of the parties and the bank's position if a settlement or court order re-allocates a joint debt of the parties to just one of them.
Where customers hold joint loan accounts, invariably the account holders will have a joint and several liability to a bank. This means that the bank is entitled to ask for the debt to be repaid by the parties jointly and by each of them severally (individually). An agreement between the parties for one of them to take responsibility for a joint and several debt will not change the right of the bank to require either or both parties to pay the debt. The bank has to agree to the re-allocation of liability before it is bound. For example if one spouse has a credit card debt and the other spouse agrees to assume responsibility for the debt, the bank's right against the credit card holder is not affected by the agreement unless the bank agrees to recognise the change of responsibility.
A person's liability to a bank can be either as a borrower or as a guarantor of another person's borrowing money from the bank. In these guidelines, a reference to a liability to a bank includes both borrowing and guarantee liabilities.
These guidelines are for the assistance of parties, their legal practitioners and representatives involved with family law property proceedings (including agreements for division of matrimonial property) and the division of their joint property that is subject to a mortgage to a bank and of their other joint and several liabilities owed to the bank.
These guidelines are intended to be for general information and guidance. They are not intended to be legal or financial advice. They are not a substitute for legal or financial advice. If you are contemplating or are involved in family law proceedings or a family law agreement you should seek specialist legal and financial advice.