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Divorce Lawyers
Serving the greater Columbus, Franklin county and Central Ohio areas.
Schedule a consultationHow Is The Division Of Debt, Such As Mortgages And Loans, Handled In Divorce Cases?
Divorce attorney specialists with OVER 63 YEARS of experience.
Divorce is not merely a legal dissolution of a marriage; it’s a difficult and emotional time that produces a significant level of stress. The process of ending a relationship that was once based on love and shared dreams can take a significant emotional toll. It often involves disentangling shared lives, which is a challenge that touches on the practical aspects of daily life.
One of the most contentious and stressful areas of divorce is the division of property. Shared assets that were once symbols of shared life and joint achievements suddenly become battlegrounds, with each party trying to ensure a fair share. The house, cars, and even furniture can all become points of conflict, exacerbating the emotional strain that divorce already imposes.
Among these, the division of debt, such as mortgages and loans, is a key aspect that needs careful attention. As most couples accrue joint debts over the years, the question of who is responsible for what debt is often a critical issue. It’s not just about fairness but also about financial stability after divorce, which is why understanding and addressing this aspect is a crucial part of any divorce proceedings. Our law firm can guide you during the debt division process and represent your interests throughout your case. Call us today for a free initial consultation at 614-820-1195.
How Are Assets Divided in a Divorce in Ohio?
In the state of Ohio, assets are divided based on an equitable distribution principle. This doesn’t necessarily mean a 50/50 split but rather a fair division based on a variety of factors, including each spouse’s earning ability, the length of the marriage, the role of each spouse in acquiring the assets, and more.
Assets that are often subject to division in a divorce include:
- Real Property: This category encompasses any land and houses owned by either party or jointly. It includes not only marital homes but also vacation properties or rental properties. These properties can have a significant impact on the division of assets during a divorce, as their value and ownership rights need to be carefully evaluated and determined.
- Personal Property: This refers to tangible items that hold value, such as cars, furniture, jewelry, and artwork. During divorce proceedings, determining the value of these items can sometimes be a point of contention between the parties involved. In some cases, professional appraisals may be necessary to accurately assess their worth.
- Financial Accounts: This category includes various types of accounts, such as savings accounts, checking accounts, and certificates of deposit. These accounts represent a significant portion of a couple’s financial assets and are subject to division during a divorce settlement.
- Retirement Accounts and Pensions: Retirement funds, including 401(k)s, IRAs, and pension plans, can be considered marital assets and are subject to division. It is crucial to understand the tax implications and potential penalties associated with early withdrawal from these accounts.
- Investments: This category covers a wide range of investment vehicles, including stocks, bonds, mutual funds, and other investment accounts. The value of these investments can fluctuate over time and may have a significant impact on the division of assets in a divorce.
- Business Interests: If either spouse owns a business or has a share in a business, this is often taken into consideration during asset division. Evaluating the fair market value of the business and determining the appropriate division of assets can be complex and may require the involvement of financial experts.
It’s important to note that the division of assets can be complex and often requires legal and financial specialization. Therefore, getting help from a skilled attorney is often crucial for protecting your interests and ensuring a fair division of assets.
Division of Debts in Ohio Divorces
In Ohio, similar to assets, debts are divided according to “equitable distribution” principles. However, it’s pertinent to understand that equitable doesn’t necessarily mean equal. The division is designed to be fair, taking into consideration various factors, including the duration of the marriage, each spouse’s income and future earning capacity, and the manner in which the debt was incurred.
A crucial distinction in this process is between “marital” and “non-marital” debts. Marital debts are those acquired during the marriage, regardless of whose name is on the debt. This includes mortgages, vehicle loans, credit card debts, and, in some cases, student loans. These are generally divided between spouses. One way secured debts are handled is by assigning one party the responsibility of paying off the remainder of the loan while receiving the asset itself. For example, you may be awarded the house in a divorce, but you are also now solely responsible for the mortgage.
Non-marital debts, on the other hand, are those that were incurred either before the marriage or after separation. These typically remain the responsibility of the individual who incurred them. That said, determining what constitutes marital and non-marital debt can be complicated. Therefore, it’s wise to consult with a knowledgeable attorney who can guide you through the intricacies of your specific situation.
Is Hiring a Property Division Lawyer Worth It?
If you’re facing a property division dispute in Ohio, hiring an experienced divorce lawyer is strongly recommended. A knowledgeable attorney can help ensure the protection of your interests and minimize conflicts during the divorce process.
Other Practice Areas
- Family Law
- Paternity
- Prenuptial Agreements
- Stepparent Adoption
- Adoption
- Grandparent Visitation Rights
- Mediation
- Divorce
- Spousal Support
- Equitable Distribution
- Military Divorce
- Social Media in Divorce
- Dissolution
- Contempt & Enforcement
- Post Divorce
- Relocation
- Delaware Business Owner Divorce Lawyers
- Business Owners Divorce
- Tax issues
- Child Custody
- Grandparent Rights
- Same-Sex Couples Child Custody
- High Asset Divorce
- Retirement Assets
- Estate Planning
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Lawrence Law Office is the place to go if you need expert and experienced legal counsel. Very knowledgeable about the court system. Been around along time. I highly recommend them!
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A qualified lawyer from Lawrence Law Office can provide invaluable advice on how to divide assets and debts equitably while navigating the complexities associated with asset division. Call us today for a free initial consultation at 614-820-1195.