National Debt Relief Discusses What Happens to Debt During Divorce
Miami, FL (PRWEB) July 12, 2013 -- National Debt Relief recently published an article that sought to help consumers anticipate what will happen to their debts while they are going through divorce. The article entitled “What Happens To Debt In A Divorce?” was posted on the website last June 29, 2013.
The article begins by describing how divorce can happen to a person even if they do not want to. The article explains how just one of the couple can decide to file for divorce and the proceedings can take place.
In all divorce proceedings, assets and other properties are divided. As ugly as that may sound, it gets worse because even debts can be split in half between the separating couple. This fact prompted National Debt Relief to release this article to help enlighten the troubled minds of couples going through divorce.
The debt relief company stated how debts are handled in the same way assets are divided. That means, it all depends on what State the couple is filing for divorce. For instance, if the couple is in a community property state, then their properties and debts will be split in two - at least this is true for anything that is accumulated after marriage.
But if they are in an equitable division state, all the assets and debt division can go either way between the couple. The article further explains that there are two ways to finalize the decision. One is an agreement between the couple. But in the event that they cannot reach one, the judge will decide for them. Specifically for debts, the article provided four different scenarios that can happen.
1. Each of the couple can agree to take full responsibility for each other’s debts.
2. The wife or one of the couples will agree to pay all the debts but with the stipulation that the assets (or most of it) will remain in their possession.
3. The husband or one of the couples will agree to pay the debts but with the agreement that they get most of the assets.
4. The couple will shoulder equal portions of the whole debt amount.
The article also states that while the above mentioned rules apply to most debts, there are different rules for credit card debts. For instance, if the husband promised to pay the credit card debt of the wife in the divorce agreement then failed to do so, the card company will go after the wife, not the husband.
This is when National Debt Relief, an American Fair Credit Council (AFCC) member, boldly promotes debt settlement as a way to help with unsecured debt - especially with credit cards. The company have dealt with thousands of consumers and have successfully negotiated for a settlement with creditors. The goal is to negotiate to pay only the settlement amount which is lower than the current balance. When this is paid, the rest of the debt will be forgiven. The whole idea of debt settlement is to convince the creditor that the consumer is in a financial crisis. This can even be an expensive divorce proceeding. The company helps reach this agreement with creditors.
To read the whole article, go to the National Debt Relief website. To learn how debt settlement can help in debt after divorce, call 888-703-4948 to talk to one of the IAPDA certified debt negotiators of the company. IAPDA stands for International Association of Professional Debt Arbitrators.
Paul Ritz, National Debt Relief, http://www.nationaldebtrelief.com/, 1-888-703-4948, [email protected]
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