What Happens to Debts in a Divorce?

You likely know that all the assets you acquired while married are considered marital property, but you may not have considered that the same concept applies to your marital debt. Virginia is an equitable distribution state, which means that your marital property – offset by your marital debt – must be divided between you and your ex fairly in divorce. In the course of determining what’s fair, many factors are taken into consideration. As such, the division of debts and assets in a Virginia divorce is always determined on a case-by-case basis. Protect your financial rights by consulting with our experienced Manassas debt division attorneys at Bristle Schulze today.

Marital Debt in Manassas

Any debt that you, your spouse, or you and your spouse took on during your marriage comes with the legal presumption that it is marital debt. It doesn’t matter if only one spouse’s name is attached or if one spouse wasn’t aware of the debt in the first place.

Marital Debt: The Exception to the Rule

The Prince William County Circuit Court, which handles all divorce cases in Manassas, has discretion to classify all or part of a debt as separate. This generally happens in response to the other spouse proving that the debt was incurred for purposes outside the scope of the marriage. Prime examples include financing an extramarital affair or racking up gambling debt.

Separate Debt

Separate debt remains the financial responsibility of the spouse who incurred it. This includes debt assumed prior to marriage and while living separate and apart prior to divorce, unless a connection to family expenses can be proven.

If a couple consolidates a separate debt into a marital account or consistently uses marital funds to pay down a separate debt, some part of the separate debt may be classified as marital. This means that the assigned percentage of the separate debt would be subject to division in divorce.

Factors Taken into Consideration in the Division of Marital Debt

The kinds of factors that help courts determine how to divide marital debt equitably – which may or may not mean equally – include the following:

• The duration of the marriage
• The age and overall mental and physical health of each spouse
• The contributions each spouse made to the family, including caring for the children and the home
• Each spouse’s income, earning power in the current market, and financial ability to cover the debt
• The circumstances that contributed to the dissolution of the marriage, including grounds of fault like cruelty, adultery, or abandonment
• Any squandering or dissipation of marital assets in anticipation of divorce

Finally, Virginia courts also consider the purpose of the specific debt and who benefited from it.

Our Experienced Manassas Divorce Lawyers Can Help

Our knowledgeable Manassas divorce attorneys at Bristle Schulze are well prepared to skillfully advocate for your financial rights – in pursuit of an optimal case outcome. Learn more about everything we can do to help you by contacting us online or giving our firm a call at 703-454-0701 today.