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Credit card debt in Arizona divorce; here’s the scoop

October 3, 2012 by  
Filed under Blog

On behalf of Ellett Law Offices , P.C. posted in 1. Credit Card Debt on Thursday, May 31, 2012

When one goes through a divorce in Arizona or anywhere else, it is often expected that the ex-spouse will be out of your life and you may continue to a new independence. However, it is often the case that an individual can be followed by their ex-spouse’s unpaid credit card debt, tying them up in a stressful way to their dissolved marriage. Even if the debt came from something an ex-spouse purchased post-divorce, one could be held accountable under certain circumstances.
Should an individual’s name be on the same card as their ex-spouse, creditors could seek payment from them the same as they could from the ex-spouse. Additionally, in some states debts incurred during a marriage, no matter whose names are on the credit card, can be considered joint debts for which either spouse could be held responsible. Debt such as this could, as well, affect one’s credit score, even for the person who is not rightfully responsible for the debt.
The best way to combat this type of potential credit card debt is to be sure to separate all joint accounts upon a divorce so that creditors cannot seek payment from the non-responsible party. It may also be beneficial to pay off, or arrange payment plans, for any truly shared debt. These processes may work to protect the credit scores of both parties, while ensuring an individual is not held responsible for a debt they did not incur.
Divorcing Arizona couples often benefit from being fully aware of their financial situation, and everything they may be responsible for in their finances post-divorce.

Source: InAudit, “Is Credit Card Debt of Ex-Husband Payable by Wife?,” Kimberly Watson, May 21, 2012
Tags: credit card debt, divorce


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