Divorces are always traumatic events. Both personally and financially, future ex-spouses will have to face new challenges. A question quite frequently asked in the free consultations offered by the firm is what happens with credit card debt acquired during the marriage. In today's blog we are going to be talking about this topic.
Credit card debts are unsecured debts, which are acquired, either personally, or in the name of both spouses. In a divorce proceeding, during the equitable division of the assets that make up the matrimonial community of assets, the division of debts should be an issue.
If the card debt was acquired personally, that is, only one spouse was the one who acquired it, the debt belongs to the person who acquired it. To understand it better, I will give an example: Rosa and Samuel are processing their divorce. During Rosa's marriage, she acquired a credit card in her personal name and her balance is $ 1200. Samuel for his part also acquired a personal credit card, and his balance is $ 400. As the debts are personal, they must be paid personally.
However, on many occasions card debts are acquired by the couple, and the payment obligation will come from both. Following the previous example, Rosa and Samuel also have a credit card in common with a balance of $ 800. During the divorce process this balance must be divided to be paid by both.
And this is where the process begins to get complicated. First, the balance is not divided equally, but quantitative. That means that the judge will consider different factors to make the decision about who and how much each party is responsible for paying. The judge may either order one party to pay the entire balance or divide it between the two. However, this does not change the obligation acquired with the credit card company.
When you and your spouse acquired the obligation and the credit card, the credit company held you both responsible for it; and even if the judge attributes the obligation to pay one over the other, if the spouse obliged to pay the card debt does not do so, because the credit of the other spouse will be affected. Continuing with the previous example, if the judge determines that Rosa is responsible for paying the $ 800 amount on the credit card, and she does not make the required monthly payments, Samuel's credit will be impacted.
That is why I always recommend to my clients that they make the payment of the card themselves, in the event that the other party does not comply with their obligation. This way they preserve your credit history. For these cases, you might petition to the court to recover the amounts paid for which the spouse who ended up making the payment was not responsible.
If you need help with your divorce process, give us a call today. The first consultation is free. In Y. Morejon Attorney, P.A. we can help you with your family case. We have helped many families overcome the tough divorce process. We speak Spanish and our motorcycle is “your problem, it's our problem”.
Any information made available by the lawyer or law firm is for educational purposes only, as well as to give you general information and general understanding of the law, NOT to provide specific advice. This does NOT create a relationship attorney-client between you and Y. Morejon Attorney, P.A. This information should NOT be use as a substitute for competent legal advice from a licensed professional attorney in your state.