Addressing marital debts when facing a divorce

On Behalf of | Oct 7, 2022 | Family Law |

When facing the end of a marriage, it might not be uncommon to experience concerns about how the outcome thereof might affect one’s financial future. Individuals in North Carolina who wish to protect this aspect of their lives might find it helpful to address a variety of factors, including the topic of marital debts. Knowing some of the most common forms of marital debt and the role such issues might play in a divorce will be essential to safeguard one’s future interests.

The types

Although marital debts can come in various fashions, studies indicate that there are several sources of debt that might prove more prevalent than others. Credit card debt remains an issue for many couples, and responsibility for similar financial obligations could prove a source of contention during divorce proceedings. Studies also suggest that auto and mortgage loan debt may also play a significant role in this process, and someone should understand their situation to make informed choices.

Medical debts are a type of issue that continue to affect many families, and there could be numerous factors that might determine whether such debts will be deemed marital or separate property. Another common form of debt may pertain to student loans, and experts indicate that there are some situations in which both parties might be liable for such obligations. It could also be helpful to note that even if one party agrees to responsibility for some forms of marital debt during negotiations, creditors may retain the right to seek repayment from all liable parties should payments fall behind.

Divorce proceedings

As any form of marital debt may be subject to the process of property division during a divorce, taking steps to address such topics could prove imperative. Individuals in North Carolina who are facing a divorce and wish to seek insight on every vital aspect to consider might benefit from speaking with a family law attorney in the initial stages of the process. An attorney can help evaluate all a client’s needs and concerns and assist in creating a strategy for legal proceedings that best aligns with his or her wishes for the future.