Announcement

Collapse
No announcement yet.

Marital Debt Obligations

Collapse
This topic is closed.
X
X
  • Filter
  • Time
  • Show
Clear All
new posts

  • Napes
    started a topic Marital Debt Obligations

    Marital Debt Obligations

    My question assumes the following:

    1.) Husband and wife are married and intend to remain married.
    2.) Husband and wife have separate checking and credit card accounts.
    3.) Husband and wife are joint owners in marital residence.
    4.) Wife has accumulated signficant credit card debt and is at risk of
    default.
    5.) Husband has no debt other than mortgage which is not at risk of
    default.

    My question:

    If wife's creditors get a judgment against wife, can they sue for
    partition of the marital residence? What other risks does the husband
    have in this situation?

    Thanks for your response.


  • FinTech
    replied
    Marital Debt Obligations

    Napes' questions were:
    If wife's creditors get a judgment against wife, can they sue for
    partition of the marital residence? What other risks does the husband
    have in this situation?


    You need not be stressed nor lose sleep over your property as long as
    there are no IRS tax consequences to consider. Since the Misses only
    has credit card debt, I implore you to avoid the highly-flawed system
    of counseling and bankruptcy that the attorneys (who seem to only know
    such proceedings and not any other alternatives) try to sell you a bill
    of goods on. The whole system of bankruptcy related to unsecured debt
    is a joke thanks to the backing of the legislation by the banking
    industry and the enactment by our boneheads in congress.

    In this country there are legal processes to obtain judgement, but
    amazingly there is no federal legislation or other legal means to
    collect on a judgement. However do we see it happen in the form of wage
    garnishment. It has also in isolated cases resulted where somehow a
    lien was applied against property. Since there is no legal basis for
    such proceedings, such rulings have to be overturned. Resultant effect,
    risk is low. Napes, don't worry about your property.

    There are two alternative solutions you might like to do your research
    on to consider as a more viable course of action to take without
    negatively impairing your credit worthiness over a long term. The most
    powerful program not only allows you to eradicate your unsecured debts
    but also provides you with a lifetime of financial benefits: asset
    protection; a powerful business credit file; and increase in net worth
    to name a few.

    By the way, the success of our defense network has been extremely
    effective in countering lawsuit attempts by the credit card banks.
    Often the the banks fold their briefcases and scurry out the court room
    door during the discovery stage or settle for ZERO right on the steps
    of the court. That's a fact.

    Contact us for a free consultation.

    Leave a comment:


  • Timothy Horrigan
    replied
    Marital Debt Obligations


    Napes wrote:
    If wife's creditors get a judgment against wife, can they sue for partition of the marital residence? What other risks does the husband have in this situation?
    Her share of the house is one of her assets: I suppose the creditors
    could try to seize it, although if there is a mortgage the mortgage
    lender would probably seize it first. (The exact answer depends on the
    exact facts of the case, on the law where the couple lives, etc.)

    Napes's scenario only plays itself out if the couple passes up MANY
    opportunities to control the damage, over a time line which will run
    for many months or even years. First the wife has to fail to pay off
    the credit card bills. Then she has to fail to get the husband to help
    her out. Then the couple has to fail to sell the house (which the
    couple presumably has positive equity in) and/or liquidate other
    assets. Next, they would have to fail to reach an agreement with the
    credit card companies (who typically offer to let debtors pay off part
    of the bill.) They would have to fail to go into a credit-counseling
    program. They would also fail to file for bankruptcy (either as a
    couple or individually.) And once sued, they would have to fail to
    settle out of court, and they would have to fail to liquidiate their
    assets to pay for the judgement.

    I hope that he is not the husband in this scenario!

    Leave a comment:


  • A Michigan Attorney
    replied
    Marital Debt Obligations

    Napes wrote:
    1.) Husband and wife are married and intend to remain married. 2.) Husband and wife have separate checking and credit card accounts. 3.) Husband and wife are joint owners in marital residence. 4.) Wife has accumulated signficant credit card debt and is at risk of default. 5.) Husband has no debt other than mortgage which is not at risk of default. If wife's creditors get a judgment against wife, can they sue for partition of the marital residence? What other risks does the husband have in this situation?
    The answer depends on unknown information. The type of joint ownership
    of the residence is a critical fact -- property held as tenants by the
    entirety generally cannot be reached by a creditor of one spouse.
    However, the US Supreme Court recently ruled that the IRS can seize
    entireties property to satisfy the tax debt of one spouse.

    Any other type of joint ownership can typically be severed by any owner
    or a creditor.

    Leave a comment:


  • Rich Carreiro
    replied
    Marital Debt Obligations

    "Napes" <[email protected]> writes:
    My question assumes the following: 1.) Husband and wife are married and intend to remain married. 2.) Husband and wife have separate checking and credit card accounts. 3.) Husband and wife are joint owners in marital residence.
    What, very specifically, is the form of the joint ownership? Is
    it a plain "joint tenancy with right of survivorship" or is
    it a "tenancy by the entireties"? If the latter, it will be
    hard to impossible for a judgement creditor to sue for partition.

    --
    Rich Carreiro [email protected]

    Leave a comment:

Working...
X