Ian(posted 7627 days ago)(It can help if we know who the lender is !)
Anyway if the lender first contacted your wife 6 years after the house was sold then I would think any action they have is time barred. When the 6 year starts is a grey area as some say it starts from the date of the first default on the mortgage and others from the date the house was repossessed and/or sold.
(Really what happened between your wife and her ex will make no difference to the lender although morally it's a shame she seems to be lumbered with the problem.)
They cannot pursue any assets in your name only, however if you have a joint mortgage they could make a "charge " on your property. This means that if you tried to sell your house, any profits would be forfeited in order to pay the debt to the lender!
I think you would be wasting your time with the Information Commissioner re them threatening you with court action for not completing I & E forms. If anything you might want to complain to the Financial Ombudsman about these methods of intimidating you. I would leave that for the moment.
But what you have look at is the best options available to you at the moment and move on from there. My thoughts are that your wife should write to the lender again, denying any liability for this alleged and unsubstanted debt and simply advise them that their actions are time barred and that she trusts the matter is now closed for all parties concerned. Send the letter Recorded Delivery. Then wait to see what their reply is.
If it transpires the matter is not time barred then we would have to re-evaluate the position and one thing I would do is have your mortgage changed to your name only. Remember they can't take what your wife doesn't have. so if she is not working and totally reliable on you financially she could consider bankruptcy (but get your mortgage changed beforehand) or making a very small full and final offer (without admitting liability)just to get the matter done and dusted. There may be other options but they can be considered once you see what they say about the time barring.
I am no legal expert and someone else might come up with some better advice but that is the angle I would take if I were in her position.
I hope this helps...e mail me direct if you want.....let me know how you get on!
All the very best of luck!
M