How are Debts Divided During Divorce?
Fair and Equitable
Just like property, division of debts between a couple has to be fair and equitable. There may be situations when one member of a couple is more financially well-off, and therefore can take on more debt than the other. You may need a lawyer to help you determine how debts should be divided during divorce.
At Dwire Law Offices, P.A., we have more than 22 years of experience in family law, including division of property and debts. We can help you figure out how much of the marital debt you are actually responsible for and make sure you are not treated unfairly or taken advantage of by your spouse when dividing debts during a divorce in Minnesota.
Determining Who Should Pay the Debt
Marital debt is considered to be debt that a couple incurs together such as a mortgage, a car loan or credit card debt. Generally, it is debt that was incurred while the couple was married. In some cases, one person joins the marriage with his or her own external debt, which the couple then works together to pay off. If this debt is not fully paid off, or if there are other considerations, there may be some debate as to whether this is marital debt or not.
There may also be issues regarding debt that is incurred after the divorce proceedings are started. For instance, if one member of a couple runs up a lot of debt on a joint credit card after the petition is filed, he or she may try to have that considered marital debt, when it may not be a legitimate claim.
Our attorney will review your financial situation as well as the proposed list of marital debts to determine what you are and are not responsible for. From there, he will work to find a fair and equitable division of your marital debt between you and your spouse. If there are possible issues regarding your joint credit cards, he will help you get your spouse’s copy of the card shut off or put the account on hold if necessary.