Can you cancel a joint loan in France following a separation from your partner?

When a former couple share outstanding debts - whether for a property or a consumer purchase - both co-borrowers remain liable regardless of personal arrangements or changes in marital status

Separation or divorce does not, in itself, alter people’s legal obligation concerning loans.

However, there are several mechanisms by which a joint loan may be settled, restructured or cancelled subject to the lender’s agreement.

Early repayment

If the loan was used to finance a property, the simplest option may be to sell it and repay the loan in full.

Any surplus from the sale is then divided between the former partners according to their marital regime or any co-ownership agreement.

Note that the lender may apply early repayment penalties depending on the terms of the contract.

Read more: See how long it takes to sell a property in France by area in 2025

Request désolidarisation from the lender

If one party wishes to retain the property, it is possible to request a désolidarisation – the formal removal of one co-borrower from the loan agreement. 

This requires the remaining borrower to buy out the other’s share - known as a rachat de soulte - and to assume full responsibility for the loan. 

The bank will assess whether the requesting party is financially able to assume the debt alone.

If it refuses the request, both parties remain jointly liable, even if only one continues to occupy the property.

Replace the co-borrower with other security

If co-borrowers, each of the couple is considered a guarantor of the loan. Another option is thus to replace an existing borrower’s guarantee with a third-party guarantor or an alternative form of security (such as a mortgage lien or financial surety). 

This, too, requires the lender’s formal agreement. If approved, the loan continues under revised terms, with one borrower and a new form of security.

Retain joint ownership

Some former couples choose to retain joint ownership of a property and continue repaying the loan together. 

In such cases, the parties must usually sign a convention d’indivision (co-ownership agreement) and inform the lender of the change in their personal circumstances. 

Joint liability for the loan, property taxes and related costs continues unless and until the loan is settled or restructured.

Read more: Is it difficult for self-employed workers to secure a mortgage from a French bank?

Marital status and property division

The legal framework governing the division of assets and liabilities depends on the couple’s legal status at the time the loan was signed, however in all cases the property division must ultimately be formalised by a notaire.

For unmarried couples (concubinage): Unless otherwise specified in a notarial act, each party is presumed to own 50% of the property and to be liable for half the loan.

For PACS (civil partnership) partners:

• If the loan predates the PACS, rules governing cohabitation apply.

• For PACS contracts signed before January 1, 2007, property is presumed to be jointly owned.

• For PACS contracts signed after January 1, 2007, the default regime is separation of property; ownership and liability depend on actual contributions.

For married couples:

• Under the régime légal assets acquired during the marriage are generally considered joint.

• Under the régime de séparation de biens assets belong to the individual who acquired or financed them.

Consumer loans

Jointly signed consumer credit agreements follow the same legal principles. 

The contract remains binding on both parties unless the loan is repaid in full, or the lender agrees to a restructuring (including désolidarisation or substitution of the guarantee).

Where no amicable agreement is possible, a court may be asked to allocate repayment responsibility. In doing so, it will consider each party’s financial situation and contributions to the loan.