When a couple gets divorced, there are many things that need to be taken into account. One of these is the issue of student loans.
Do you have questions about what happens regarding student loans during a divorce? Here's what you need to know before your divorce.
Here's What Happens in Most Cases
In most cases, these loans will be the responsibility of the person who took them out. Student loans are typically taken out in one person's name. This is especially true if the student loans were taken out before the marriage.
However, there are some cases where the other spouse may be held responsible. A divorce lawyer will provide more information about what happens next.
Student Loans Will Likely Not Be Discharged
The first thing to keep in mind is that student loans are generally not dischargeable in bankruptcy. This means that if you file for bankruptcy, your student loan debt will still need to be repaid.
Many people file for bankruptcy during or after a divorce, but doing so will likely not impact your student loans. However, there are some exceptions to this rule. If you can prove that repaying your student loans would cause undue hardship, you may be able to get them discharged.
Divorce Court Will Consider Who Can Pay Which Bills
If you are divorced, the court will take into account the ability of each spouse to repay their loans when dividing up marital assets. This means that if one spouse has a much higher income than the other, they may be responsible for a larger portion of the debt.
What If Your Spouse Has Co-Signed for a Student Loan?
In this case, you may have more questions for a divorce lawyer. Your lawyer can provide more information about what to do if your spouse has a loan that you co-signed. You may still be on the hook for these payments even if you get divorced.
Your lawyer will determine if there is a way to ensure that your spouse is held liable for loans that they are supposed to pay. If you still have questions about your legal obligations and whether you can be released from financial responsibilities, your lawyer is the right person to ask.
What Should You Do Next?
If you are going through a divorce, it is important to speak with a family law attorney about your specific situation. They can help you understand how student loans will be handled in the divorce and what your options are to ensure you are legally protected.