Student loans have become an increasingly popular payment method for individuals looking to continue their education. Unfortunately, this is a costly and time-consuming method of paying for college. It is not uncommon for loan payments to be made into adulthood. Seeing as marriage is another common milestone in adulthood, it is not uncommon for marriage and student loans to overlap. In these cases, it becomes questionable who is responsible for the continued loan payments. This question becomes even more complex when the individuals go through a divorce. Instead of having this added worry, allow a skilled divorce lawyer in Massapequa to handle your case.
Important questions to ask:
- Were the loans taken prior to the marriage?
Contrary to popular belief, loans taken out prior to a legal marriage do not become shared property. If the student loans were incurred before marriage, they remain the responsibility of the debtor spouse. If the loans were taken after marriage, other factors need to be examined to determine accountability.
- Was a degree earned?
In New York state, education achievements are treated as mutual property. This is because obtaining a degree positively benefits all members of a household. For this purpose, both degree and payments for the degree are divided between the two spouses. A divorce lawyer in Massapequa will be able to assist individuals in these situations and find fair settlements.
- Was the loan a federal or private loan?
Like loans taken out prior to marriage, federal loans are in the name of the debtor spouse. On the contrary, private loans tend to need a cosigner. In many cases, the individual’s spouse will cosign for their loan. Because both names are on the loan, both individuals are held accountable even in the case of a divorce.
- What are the personal assets of each spouse?
Often, courts take strongly into effect the earning power of each individual involved in the divorce. The ability to support oneself and one’s dependents is an important factor when examining who will incur financial responsibility for any pre-existing loans.
How do you handle student loans in a divorce?
The best way to decide what to do about student loans in a divorce is to contact a highly professional divorce lawyer in Massapequa. One of our lawyers will be able to assist you through the divorce process in the most efficient and beneficial way possible.