How Should You Handle Debt During Your Divorce?

You may already know that divorce mediation can resolve matters such as property division. But did you know that divorce mediation near Baltimore may also cover liability division? As your attorney can advise you, a person can be held liable for the debt of his or her former spouse, even if that debt was only listed under the spouse’s name. Before entering mediation, talk to your attorney about indemnity agreements, marital debt, and non-marital debt.

As you’ll learn when you watch this video, an indemnity agreement can protect you from debt liability. This video also recommends taking some other steps prior to entering into mediation and finalizing your divorce, such as closing or freezing all accounts held jointly with your spouse.

You may also wish to consult with an divorce attorney with experience regarding bankruptcy. Some spouses are known to enter into these indemnity agreements and then file bankruptcy.