How Is Debt Handled in an Ohio Divorce?

How Is Debt Handled in an Ohio Divorce?

Divorce brings many challenges, but understanding how debt is divided doesn’t have to be one of them. If you are facing divorce in Ohio, you likely have questions about what happens to your shared financial obligations. At Kvale Antonelli & Raj, we help Cleveland-area families address property division and other aspects of divorce with clarity and compassion.

In Ohio divorces, keep in mind that:

• Both assets and debts acquired during marriage are considered marital property
• Marital debt is divided equally, unless unequal division would be more fair
• Courts can intervene if spouses cannot agree on debt division
• Professional legal guidance helps avoid costly mistakes

A proper view of the property division process, and how debt is part of it, can help you face the financial elements of divorce with confidence.

How Property Is Divided in Ohio Divorces

Ohio follows the principle of equitable distribution for all marital property. This means the court divides marital assets and debts equally between spouses unless an equal split would be unfair to one party.

The law requires courts to consider several factors when determining fairness, such as:

• Length of the marriage
• Each spouse’s earning capacity
• Age and health of both parties
• Contributions to the marriage (including homemaking)
• Economic circumstances of each spouse

This balanced approach ensures both parties receive fair treatment, even when circumstances make a 50-50 split inappropriate.

Is Debt Considered Marital Property in Ohio?

Debt acquired during marriage is generally treated as marital property in Ohio. This could include:

• Credit card balances incurred during marriage
• Mortgages on the family home
• Car loans for vehicles purchased together
• Medical bills accumulated during marriage

However, separate debt typically remains with the original borrower. Thus, the distinction between marital and separate debt can significantly impact your financial future.

What Happens When You Cannot Agree on Debt Division?

When spouses cannot reach an agreement on how to divide their marital debts, the court will make the decision for them. This is where having experienced legal counsel can become crucial.

The court will consider several factors when dividing debt, including:

• Each spouse’s income, earning capacity, and ability to pay off debts
• Each spouse’s contribution to the marriage and to the marital debts
• Whether one spouse will receive greater assets

Professional appraisals may be required if there are disputes about asset values, which directly impacts how debts should be balanced against assets.

Take Control of Your Financial Future

Debt division in an Ohio divorce does not have to be overwhelming when you have the right legal guidance. Understanding your rights and options early in the process enables you to make strategic decisions that protect your financial interests.

Our experienced Cleveland divorce attorneys at Kvale Antonelli & Raj have experience with complex property and debt division in the context of divorce. We can work with you to understand your complete financial picture and develop a strategy for debt division that serves the best interests of you and your family. If you need assistance with the division of debt or marital property, contact our team at Kvale Antonelli & Raj today.