Your Family Matters

Can your spouse pass their debt to you after divorce?

On Behalf of | Jan 16, 2025 | family law

Divorce can be a financial challenge, especially when one spouse has racked up debt in the other’s name. This situation often leaves the innocent party feeling betrayed and worried about their financial future. While Illinois law treats marital debt as a shared responsibility, exceptions and potential defenses exist. Let’s explore your options and rights in this tricky situation.

Do you need to pay for all the debts both spouses have incurred?

In Illinois, both spouses usually share debt from marriage, no matter whose name it’s in. They might have to pay it off, even after divorce. But exceptions exist:

  • Your spouse must pay for debt from personal hobbies or purchases unrelated to the marriage.
  • If your spouse racked up a debt from gambling or addictive behaviors, they must own it.
  • A spouse must take full responsibility for debt from illegal activities.

When splitting marital debt, the court considers different factors, such as each spouse’s finances, contributions to the marriage, and any harmful actions that caused the debt.

What can you do if your spouse fraudulently incurred debt in your name?

If your spouse ran up debt in your name without your knowledge or consent, you may have options:

  • File a police report for identity theft
  • Dispute the charges with creditors
  • Provide evidence of fraud during divorce proceedings

Illinois law allows courts to consider the dissipation of marital assets when dividing property and debt. If you can prove your spouse wasted marital funds or incurred debt fraudulently, the court may assign that debt solely to them.

How can you protect your financial future?

It is difficult to deal with marital debt during divorce, especially if it is not yours. A lawyer can guide you in understanding your rights and obligations under Illinois law. They can also assist in gathering evidence of financial misconduct, negotiating with creditors, and presenting your case effectively in court. Remember, each situation is unique, and the outcome depends on the specific facts of your case. You can make informed decisions and protect your financial interests during this challenging time with legal guidance you can trust.

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