I have a joint account with my partner, because I took out a mortgage on my property as a loan to him. He has a bank credit card on that account, but has stopped paying the mortgage. I do not want to lose my property, so I have been paying the mortgage, but now the bank has taken the last mortgage payment for the card debt and will not let me pay the mortgage until the card debt is paid. Can they do this as the card was issued without my knowledge and not in my name?
Laws can vary from state to state, but if you designate which account a payment is to be credited to, it must be credited to that account. You need to strongly advise the bank that you will help them avoid a past due mortgage loan, but the credit card collection is up to them.
You may need an attorney to review this and ensure there is no cross-pledge between the two debts. That means the security on one, secures the other. That isn't likely, but it depends on how the agreements were drawn up. Your attorney can also help you with the payment allocation requirements.
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Laws can vary from state to state, but if you designate which account a payment is to be credited to, it must be credited to that account. You need to strongly advise the bank that you will help them avoid a past due mortgage loan, but the credit card collection is up to them. 