Refinancing Credit Card Debt: Who Is Responsible For The Loan?

divorce lawyer Andrew LaufersQuestion:

My wife has major credit card debt that we are looking to refinance along with our other debts to take advantage of low interest rates.

With refinancing, they take the lower credit score if we take out the new loan in both our names, but because her credit is so bad if we put the loan in my name alone then we get a much better interest rate.

In terms of a potential divorce, is it a good idea to have this new loan in my name only even if part of the debt is in her name only?


I am unable to give you legal advice on divorce. I can give general divorce help for men, though, my knowledge is based on Minnesota divorce laws where I am licensed to practice.

Typically, where I practice, debt would be divided equally.

However, if you refinance her debt into your name, then the creditor will look to you for repayment only. A creditor is not and cannot be bound by a state divorce decree.

Thus, refinancing the debt in her name alone to in your name alone will cause the debt to then become yours. You could potentially be left chasing her for repayment while the creditor is only looking to you for repayment.

If you have debt in both of your names, you should refinance it to a lower interest rate.

Remember, I am unable to provide you with anything more than divorce tips for men, so please consult with a divorce lawyer in your jurisdiction.

To arrange an initial consultation to discuss divorce rights for men with a Cordell & Cordell attorney, including Minnesota Divorce Lawyer Andrew J. Laufers, contact Cordell & Cordell.

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