Basics of Family Law
Division of Property: Who Gets What?
What about debts?
If you are married
Under BC law, when you separate, both you and your spouse are responsible for the family debts - even debts that are in one name only. (Family debts are any debts that you or your spouse separately, or you and your spouse together, ran up during your marriage to buy family assets or pay family expenses, including mortgages and loans.)
Please note:
It is up to you to arrange with your spouse how you are going to pay for family debts.
While you and your spouse are both responsible for family debts, if a credit card, loan, etc., is in your name only, the credit card company or bank will consider you solely responsible for the payments - regardless of the payment arrangement you have with your spouse. They will seek payment from you, and it is up to you to seek payment from your spouse.
If you are not married
When you separate, you will be responsible for any debts in your own name and any shared debts (a loan or a mortgage, for example, that both you and your spouse signed). You will be responsible for debts in your spouse's name only if you and your spouse made an agreement stating that you will be responsible for each other's debts. (However, as with married couples, the credit card company or bank will only look at whose name is on the card, and will seek payment from that person. If you have an agreement, it is up to you to seek payment from your former spouse.)
After separation
After you have separated, any debt you take on is usually yours alone. However, if you have joint credit cards, then both of you will be responsible for any money owing, even after you separate. We recommend you contact the credit card companies to let them know that you have separated and to have your name taken off joint credit cards.
Help is available
Financial problems are often a major source of conflict for separating couples.
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