Divorce doesn’t just divide lives; it divides finances too. While many people focus on who gets the house or retirement accounts, debt is often just as important and far more confusing. Credit cards, mortgages, car loans, and student debt don’t simply disappear when a marriage ends.
Understanding what happens to debt after a divorce is critical to protecting your financial future. Below, it goes over how Roberts & Zatlin explain how debt is handled in a California divorce and what you can do to avoid costly mistakes.
Why Debt Division Matters in a Divorce
Debt can follow you long after a divorce is finalized. Even if a court order says your ex-spouse is responsible for a particular debt, creditors may still pursue you if your name remains on the account.
Failing to properly address debt during divorce can lead to:
- Damaged credit
- Collection lawsuits
- Unexpected financial strain
- Ongoing ties to an ex-spouse
That’s why understanding your rights and obligations is essential before signing any settlement or court order.
Common Types Of Debt in a Divorce
Most divorces involve one or more of the following types of debt:
- Credit card balances
- Mortgages and home equity loans
- Car loans
- Medical bills
- Personal loans
- Student loans
How each debt is treated depends on when it was incurred and who benefited from it.
How Florida Law Handles Debt in a Divorce
Florida follows the principle of equitable distribution, which means marital assets and marital debts are divided fairly, not necessarily equally.
Marital Debt Vs Seperate Debt:
- Marital Debt: Generally includes debts incurred during the marriage, regardless of whose name is on the account.
- Separate Debt: Usually includes debts incurred before the marriage or after separation for non-marital purposes.
Courts consider several factors when dividing debt, including:
- Each spouse’s income and earning capacity
- Who benefited from the debt
- Whether the debt was incurred for marital or personal reasons
- Each party’s ability to repay the debt
Common Mistakes to Avoid
- Assuming divorce automatically removes your name from debt
- Ignoring debt during settlement negotiations
- Trusting informal agreements without legal protection
- Overlooking tax or credit consequences
These mistakes can cost you long after the divorce is final.
How To Protect Yourself Financially
Dividing debt during a divorce can be overwhelming, especially when emotions are high and financial consequences can last for years. At Roberts & Zatlin, we help clients navigate the legal and financial complexities of divorce with clarity and confidence.
Our experienced family law attorneys work closely with you to:
- Identify which debts are marital and which are separate
- Protect yourself from unfair or hidden financial obligations
- Negotiate clear, enforceable settlement agreements
- Address joint accounts, loans, and credit concerns
- Advocate for your best interests in court when necessary
Contact Roberts & Zatlin For Guidance
We understand that every divorce is unique. Whether your case involves significant assets, complex debt, or high-conflict negotiations, our team provides personalized guidance designed to protect your financial future.
At Roberts & Zatlin, our priority is to help you navigate your divorce while positioning you for long-term financial stability. Click here to schedule a free consultation!
