Dividing debt after a divorce

If child custody issues are not involved when a couple in Texas goes through a divorce, then property division may be the most difficult part of the process. While property belonging to one spouse before the marriage along with gifts and inheritances are typically considered separate, everything else must be divided between both parties. In addition to assets and belongings, a couple's debt must be divided too.

For many couples, a premarital agreement could dictate how any debts are to be split during a divorce. If no such agreement exists, a couple might have to decide how to divide credit card debt or a mortgage. Charges made on a joint account regardless of who made a purchase is usually the responsibility of both parties, and any credit card debt accumulated on an account that is under the name of both spouses will likely be divided. However, one spouse may not be responsible if the other has credit card debt from a separate account.

A couple may have options when dealing with a mortgage after a divorce, but the house is in most cases assigned to one of the parties. In some cases, one party might buy out the equity belonging to the other spouse. Selling the home is also an option when dissolving a marriage.

Since Texas is a community property state, many debts and assets acquired during the marriage are deemed to be the property of both parties equally. There might be multiple options for figuring out a fair settlement that could receive court approval. If no prenuptial agreement exists, a post-marital agreement could divide a couple's debts and assets instead, and a family law attorney can often be of assistance to one of the parties in attempting to negotiate one.

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