How Does Illinois Divide Debt During Divorce?

 Posted on March 12, 2025 in Divorce

Many people are aware that couples need to divide their property and other assets and resolve questions about child support and spousal support when going through a divorce. However, when mentally preparing for the financial impact of divorce, a lot of people do not realize that debt amassed during a marriage also needs to be divided among the spouses. Understanding how Illinois law handles debt division can help divorcing individuals protect their financial interests. An experienced Schaumburg, IL divorce lawyer can explain what is involved and help you set realistic expectations.

How Does Equitable Distribution Impact Debt Division?

Illinois follows an "equitable distribution" model for dividing a marital estate during a divorce, meaning that all marital assets and debts are not necessarily divided equally but instead, in a way the court deems fair. In deciding what is fair for any given couple, the court needs to consider several factors, including how long the couple was married, each spouse’s financial status and future earning capacity, and more. Depending on the circumstances, one higher-earning spouse might be ordered to take on a significantly larger portion of the couple’s debts.

What Debts Are Divided in Divorce?

Marital debt is subject to division during divorce, much like marital assets. Any debt that is incurred during the marriage is considered marital debt, regardless of whose name is on the account or who spent the money. Non-marital debt refers to financial obligations from before the marriage or after legal separation, and it is typically the individual responsibility of the person who incurred it.

Something like a joint credit card that both spouses use for family expenses during the marriage would likely fall under the category of marital debt. On the other hand, a student loan taken out by one spouse before the marriage would typically be that spouse’s responsibility to cover alone. 

There are some exceptions to these rules. For example, some debts incurred during a marriage can still be classified as non-marital if they were clearly intended to benefit only one spouse. Additionally, courts might also examine the purpose of the debt, such as whether it was used for family expenses or personal luxuries, to decide who will be ordered to pay for them.

Schedule a Private Consultation with a Schaumburg, IL Marital Debt Division Lawyer

Dividing debt during an Illinois divorce and distinguishing between marital and non-marital obligations can be complicated. An experienced Schaumburg, IL family law attorney can help you navigate the process and ensure your financial interests are protected. By understanding Illinois' equitable distribution laws, you can better prepare for a fair division of debt during your divorce, so call 630-426-0196 to schedule an initial consultation with A. Traub & Associates today.