When a Louisiana couple makes the decision to end their divorce, they are immediately tasked with separating everything they share. This can include everything from property, to custody of their children, to debt. Reaching agreements that benefit both parties regarding shared items can be incredibly complicated at times, especially when both parties are unwilling to reach a compromise. Because no one wants to be left with a mounting load of debt, this aspect can be particularly challenging during a divorce.
According to Live About, there are two primary types of debt to be considered during a divorce: secured debt and unsecured debt. Unsecured debt is often separated between both parties so each is required to pay a balance of the remaining money owed. Secured debt usually relates to payments on loans for things like cars and homes. During a divorce, couples much reach an agreement on which party will be responsible for paying the lender. If the decided spouse does not make payments on time, the property is subject to repossession by the creditor.
If a couple knows they are going to pursue a divorce, they can benefit greatly from paying off their debts before filing for separation. When there is still debt to be paid during a divorce, couples should do their best to establish agreements for who is in charge of paying for what. With clear guidelines in place, each party can move forward and not be at risk of legal consequences or financial setbacks in relation to unpaid debt that either party has neglected to pay.
The American Psychological Association reports that nearly half of all couples in the United States experience divorce.