How is debt divided under Wisconsin divorce law?

Under Wisconsin law, all marital assets and debts are subject to be divided in a divorce. Marital debts are debts that were incurred during the course of a marriage. These debts include mortgages, car loans, credit cards, student loans, and even taxes. The court may sometimes require one party to pay off more debt because they will be receiving greater assets.

The court has the authority to order one or both parties to pay off any marital debt, even if the purchased asset only benefitted one party. For example, if a husband takes out a loan to purchase a car during the marriage and later defaults, the wife may be liable for the debt even if she never drove the car.

Sometimes one party may have hidden debts that the other party did not know exist. The court could still make both parties responsible for paying off the hidden debt.

Am I responsible for my ex's student loans?

Generally, if the student loans were taken out before marriage, they would be considered individual property. If the loan was taken out during the marriage, however, you could be liable for your spouse's student loan debt. If your spouse took out loans for the purpose of supporting your family, the loans have a higher likelihood of being considered marital debt. A court will look at many facts and perform an economic analysis when ruling on the division of student loan debt in a marriage.

Contact the family law lawyers at Divergent Law today to schedule a free consultation. Our experienced attorneys will put your self-interests first.