What happens to credit card debt when you divorce?
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What happens to credit card debt when you divorce?
When you get a divorce, you are still responsible for any debt in your name. Most states follow “common law,” which means that a court will hold you responsible for any credit card debt that is solely in your name, and will hold you jointly liable for credit card debt that is in both your name and your spouse’s name.
Can a spouse ruin your credit?
Fortunately, your spouse’s past credit history has no impact on your credit profile. Only when you open a joint account will any information be shared on both of your credit reports. However, when you want to buy a home together, your spouse’s negative credit history could impact your mortgage rates.
How do you financially protect yourself in a marriage?
5 Steps To Protect Yourself BEFORE The DivorceClose Joint Credit Cards. If you have a joint card with someone and you don’t want to be responsible for their continued spending, contact the credit card company NOW. Investment and Bank Accounts. Protect Your Data. Protect Your Mail. Get A Credit Report.
