As a debt division attorney, I know that dividing debt is equally important during a divorce as property division. If there are any lines of credit or loans that you and your spouse signed jointly, they are your joint responsibility even when you decide to dissolve the marriage. Moreover, based on the assets, income, personal situation, and health of a spouse, they can be held accountable for paying off the debt on loans and credit cards that are not in their name but were accumulated during the marriage.
The attorneys at the Law Office of Fedor Kozlov, P.C., understand how critical property and debt matters are and closely work with you during the course of your divorce. We ensure that you are well aware of your rights and prevent you from being burdened with debt that you shouldn’t be held accountable for in the first place. We propose measures to reach a fair settlement where none of the spouses is left at a disadvantage.
The Settlement of Debt during Divorce
There are two ways couples can deal with debt during divorce: One is to pay off debts before getting a divorce, and the other is to divide debt during the process of property division. In most divorce cases, the best option is to pay off the debt before the divorce, as it makes property division easier. Moreover, it ensures that you don’t face any lawsuits in the future from lenders if your ex-partner is unable to pay off their share of debts.
Although this may seem like the best course of action, it may not be easy for either of the spouses to settle their debts before the divorce, and they might have to resort to the second option. The court generally considers several factors to decide if the debt is a separate liability of either spouse, or both of them are liable for it. In the latter case, the court will either divide debts in a way it deems fair considering specific circumstances of each spouse or split it equally between them.
Since each case is different in one way or the other, it can be difficult to decide which debt should be considered separate or subject to division. However, jointly held credit cards, jointly signed loans including home mortgage and car loans, credit card debt accumulated during the marriage, and debt on mutually owned business are typically divided between spouses.
Contact Experienced Debt Division Attorneys Today
There are many intricacies involved in the distribution of marital debt under Illinois Law. That is why you should seek legal help from an experienced debt division attorney to know your rights and get fair debt distribution. At the Law Office of Fedor Kozlov, P.C., we carefully review your financial situation and evaluate different possible solutions that are in your best interest. For more information about debt division and how our attorneys can help you, contact the Law Office of Fedor Kozlov, P.C. today at (847) 241-1299 to schedule a consultation.