Protecting Relationships

Protecting Relationships And Legacies

Is student loan debt divided during a divorce?

On Behalf of | Dec 10, 2021 | Family Law

With any divorce proceeding comes a distribution of marital liabilities, including applicable student loan debt, which can negatively impact your credit score.

There are ways to minimize the impact of debt before and after a divorce, however.

How are student loans divided in a divorce?

Like any other type of debt, you may need to split student loans during a divorce. A key factor in this determination is whether you incurred the debt before or after the marriage.

Similar to separate property brought into the marriage, if you took out student loans after your nuptials, they are likely considered marital liabilities. Georgia courts will divide these debts equitably among you and your spouse. An equitable split will depend on multiple factors, including:

  • Individual income and earning potential
  • Wrongful conduct in the marriage
  • Separate assets of each spouse

How can I minimize the effect of debt during a divorce?

Before you file for divorce, it may be best to settle your debt as much as you can. These obligations can negatively impact your credit score.

You may wish to include an indemnification clause in your divorce if a joint account becomes an individual account. This will make one spouse legally responsible for the debt and explicitly state that the other is not. If the spouse that owns the debt refuses to pay it, a court can hold them liable.

Student loan debt may seem complicated, but as with every stage of a divorce, the right legal strategy can help you settle it effectively.

State Bar of Georgia
Avvo Rating Superb | Top Attorney, Family
Avvo Rating Superb | Top Attorney, Criminal Defense
Avvo Rating Superb | Top Attorney, Juvenile
Forsyth County Bar Association
Georgia Office of Dispute Resolution
NACC | National Association of Counsel for Children
Amicable Divorce Network
Rated By Super Lawyers | Erin Fowler | Selected in 2021 | Thomson Reuters
Rated By Super Lawyers | Erin Fowler | Selected in 2022 | Thomson Reuters