New Jersey Divorce and Credit Card Debt Lawyers
Divorce and Family Law Attorneys with Offices in Morristown, New Jersey
During the divorce process, both marital assets and debts must be divided. Some people who are getting divorced focus all their attention on the assets, when they should concern themselves with how their joint debts are handled.
At Townsend, Tomaio & Newmark, L.L.C., we take a comprehensive approach to divorce. In addition to resolving issues of child custody, child support, and property division, we also work to resolve debt problems in the best way possible. When we represent you, we will work hard to place you in the optimal financial position.
Dealing with Credit Card Debt in New Jersey Divorces
Every divorce case is unique, and that extends to issues of credit card debts and divorce. That said, one general principle applies — you should leave the marriage with no joint debts if that is at all possible.
In some cases, it may make sense to pay down credit card debts using marital assets before the divorce. In others, it may be better to split the debt and place it in separate accounts. Chapter 7 bankruptcy may completely liquidate credit card debts along with other unsecured debts, so filing and completing a joint Chapter 7 before the divorce becomes final is another option. Townsend, Tomaio & Newmark, L.L.C., can refer you to a bankruptcy attorney.
If you cannot avoid carrying joint credit card debts after your divorce is finalized, a provision can be placed in a divorce settlement that requires your spouse to pay that debt and that provides you with indemnification by your spouse.
Do Spouses Share Debt in New Jersey Divorces?
If the debt was incurred during the marriage, and the debt is “marital” in nature, the answer is yes, no matter whose name is on the credit card. Even if your spouse was the one who ran up the debt, you are still on the hook unless some solution can be found. Credit card companies don’t care who incurred the debt — they have a claim against the person holding the credit card account.
Contact our Morris County NJ Divorce Debt Lawyers for Answers
Our lawyers have solutions for dealing with debt during the divorce process. We can review your situation and recommend your best course of action. To schedule a consultation about a divorce or debt division matter, contact Townsend, Tomaio & Newmark, L.L.C.