Family Law

Your credit score following divorce

By Robert M. Kisselburgh, Esq.

But the decree said he was responsible for that bill!

A common misconception among people going through divorce in Mississippi is the responsibility of paying debts following divorce. Here is a classic example: Husband and wife have two cars, both financed through their bank and both of their names are on the loans. During the divorce negotiations, the wife and husband agree to each keep the vehicle they drive and each agrees to pay for their own car. Following the divorce, the wife is very diligent in making timely car payments. Six months after the divorce, she goes to the bank for a loan and is denied because her credit score is too low. Upon checking, she finds that her credit score was lowered because her ex-husband was not making the payments on his car. How can this happen? Didn?t the divorce split the debts? Didn?t her husband agree to pay the debt? Not so fast. She is still financially responsible for the debt because her name is on the loan.

Full post as published by Mississippi Family Law Blog on January 10, 2008 (boomark / email).