It is not unusual for married couples in Rockwall to share at least one if not more joint credit cards. Joint credit cards can help a couple manage expenses, consolidate the number of financial accounts they have and earn rewards points. Unfortunately, not all marriages are meant to last, and sometimes a couple will find that they are better off divorcing. When this happens, they will have to determine how they will manage this debt.
Understand property division laws in Texas
Unlike most other states in the nation, Texas along with eight other states are “community property” states for property division purposes. This means that any debt, including joint credit cards, accrued while the couple was married, is jointly liable by both spouses. This means that each spouse will be equally liable for credit card debt, whether it is a joint credit card or individual credit card, as long as the debt was incurred during the course of the marriage.
Deciding what to do with credit card debt
In a divorce, a couple along with their attorneys may decide through out-of-court settlements who will be responsible for the couple’s marital debts. If they cannot reach an agreement, their divorce will be litigated, and a judge will issue the final ruling on how their debts will be divided. It is important to note that, with regards to joint credit cards, each spouse may be held liable if timely payments are not made, despite what a divorce decree may say.
Learn more about divorce in Texas
Ultimately, this post is for educational purposes only and does not contain legal advice. Those who want to learn more about their rights in the property division process in a Texas divorce are encouraged to visit our firm’s website on divorce for further information.