Groucho Marx, the American comedian, famously said –
“Marriage is a fine institution, but who wants to live in an institution”
First of all, couples who are living together often do not realise that they don’t enjoy the same legal rights as those married or living in civil partnerships. When the relationship ends they do not have the same rights which apply when married couples divorce or a civil partnership is dissolved. They have no rights to claim maintenance from the ex-partner or a share of the assets.
The only way to avoid these problems is to instruct a lawyer to draft a formal legal agreement- a cohabitation or “no-nuptial” agreement (“no-nup”). This is as opposed to the “pre-nuptial” agreement (“pre-nup”) which is often favoured by marrying wealthy couples.
What is a “No-nup”
A no-nup would state how property, personal belongings, savings and other assets should be split. It can also show how any children should be supported. Furthermore, it is important to note that neither a no-nup nor pre-nups will be regarded as binding by the Courts. However, both will be taken into account.
What about Cohabitation agreements.
Cohabitation agreements may be recommended when there is a large difference in the wealth of the two parties. This might be when a wealthy parent is proposing to help with a property purchase. Also, the parent may be concerned about what would happen if the relationship broke down. Areas to look at relating to property might be –
- Whether this should be held in joint names.
- Who will have the responsibility of the mortgage payments?
- Household improvements should be taken into account.
- How liability for any negative equity should be divided.
- Provision for one party acquiring the property if a break-up occurs.
How Anstee & Co can help you.
We are a firm of Independent Financial Adviser. (IFA’s). Therefore, the financial planning advice we give is unbiased. We look at all the financial solutions from the “whole of market”. The importance of getting sound independent financial advice is always important. Our financial advisers will be able to help you if your relationship breaks down to. The first “getting to know you” meeting at our expenses and without obligation.
So, why not arrange a meeting today to see how we can help you. The meeting can be arranged at a time and location that is convenient for you. This may be at your home, place of work or at one of our offices located at: –
- Kettering, Northamptonshire
- Stamford, Lincolnshire
- London, Pall Mall, Greater London.
Additionally, our financial advisers live and make use of meeting rooms in: –
- Bedford, Bedfordshire
- Market Harborough, Leicestershire
- Northampton, Towcester, Brackley and Wellingborough in Northamptonshire.
Finally, the information contained in this newsletter is for information purposes only and does not constitute advice. No action should be taken on this information alone.