When a couple gets divorced in Virginia, one of the main sources for disagreement is property division. For example, if they owned a home, both sides will want to get what they believe is a fair share of its value. Or one might want to retain the home. The same is true for investments, bank accounts, retirement accounts and other properties.
Often, they forget about debt that they accrued while married. This can be a topic for disagreement as people will want to limit their liability or find a reasonable negotiated solution. Understanding the law for dividing debt can be just as critical as property division.
Pay attention to debt when getting divorced
Just as there is separate, marital and commingled property in a marriage, the same is true for debt. Separate debt is anything that was amassed prior to the marriage. If a person entered the marriage with credit card debt, then they will be responsible for that debt after the divorce.
Any debt that was accrued after the parties separated will also be separate debt if one expects the separation to be permanent. Other debt can be less clear. If the debt was accrued for family purposes even if it came about after the separation, then it could be categorized as marital debt.
Marital debt can be more complex. Anything purchased after the marriage and before they separated will be marital property and therefore, marital debt. Still, a person who asserts that the spouse incurred the debt for non-marital purposes can show evidence to that effect and might not be responsible for it.
In some instances, after the parties decide to part ways, a person could have made a major purchase on a joint credit card expecting the debt to be shared. Showing that this was done willfully could leave the non-purchasing spouse free of that debt.
Commingled debt is like the example of a marital home that both parties contributed to purchasing, maintaining and repairing. They will be expected to share it.
Be prepared for every aspect of a divorce
In family law, people tend to focus primarily on child custody, spousal support, child support and other factors. However, property and debt should not be ignored. These can be impactful in myriad ways and people must be prepared for it. From the start, it is vital to know the law and to have guidance with addressing debt to make sure there is a fair outcome.