Category: Marital Issues
In Kelly Ann Smith’s Article, How to Untangle Joint Credit Card Debt in Divorce, she does a great job of identifying the fundamentals of how debt is divided in a divorce. In a nutshell, the divorce judge will assign who is responsible to pay for which balances. The tough part is that the way that the divorce judge carves up the pie does not change who is signed to the loans. So if the divorce judge says, for example, that former husband is supposed to pay former wife’s Amex card, but that doesn’t happen, then Amex could still sue and… Read More
Preparing for an impending divorce is an important step before initiating the divorce process. Call Us Evaluation Clearwater: (727) 538-4188
Individuals and spouses file for bankruptcy and divorce for numerous reasons. They could even file for divorce after filing for bankruptcy, or vice versa.
So unless the loan has been refinanced or modified, both spouses are still legally responsible to the bank in a foreclosure if the loan falls behind.