Under Utah Code 30-3-5, marital debts are divided equitably alongside assets in a divorce. The court considers who incurred the debt and whether it was for the benefit of the marriage when allocating responsibility.
Last updated: July 2026
Key Takeaways
- Marital debts are divided equitably under the same framework as marital assets.
- A divorce decree dividing debt is binding between spouses but not on third-party creditors.
- Separate debts incurred before marriage or after separation may not be subject to division.
Debt division is often overlooked in Utah divorce cases, but it can be just as important as asset division. A mortgage, car loans, credit card balances, student loans, medical bills, and tax obligations must all be classified as marital or separate and then allocated equitably. Under Utah Code 30-3-5, the court considers the same factors used for asset division when allocating debts. Who incurred the debt, whether it benefited the marriage, the parties’ respective abilities to pay, and the overall fairness of the allocation are all relevant considerations. The goal is to achieve an equitable overall outcome, not necessarily to split each debt equally.
What many people do not realize is that a court order dividing debt does not bind third-party creditors. Utah Code 15-4-6.5 provides that a divorce decree can allocate responsibility for marital debts between spouses, but creditors who were not parties to the divorce can still pursue either spouse for joint debts. If your ex-spouse is ordered to pay a joint credit card balance but does not pay it, the credit card company can come after you. Your only remedy is to go back to court and seek enforcement against your ex-spouse. This harsh reality makes it essential to include indemnification clauses in the divorce decree and to close joint accounts whenever possible.
What is marital debt in a Utah divorce?
Marital debt includes any debt incurred during the marriage for the benefit of the marriage or the family. This includes mortgages, car loans, credit card charges for household expenses, medical bills for either spouse or children, tax liabilities from joint returns, and student loans taken out during the marriage. Debts incurred before the marriage are generally considered separate debts of the spouse who incurred them. Debts incurred after separation may be separate if they were not for the benefit of the family. The classification depends on the purpose of the debt and when it was incurred. A credit card used to buy groceries for the family during the marriage is marital debt. A credit card used to pay for one spouse’s affair is not for the benefit of the marriage and may be assigned entirely to that spouse.
How does the court allocate debt in a Utah divorce?
The court applies the same equitable distribution principles to debt as to assets. The court considers who incurred the debt, whether both parties benefited from the debt, the parties’ respective incomes and ability to pay, and the overall fairness of the allocation. In practice, the court often assigns debt to the spouse who has the greater ability to pay, or assigns it to the spouse who primarily benefited from the debt. For example, a car loan for a vehicle used primarily by one spouse may be assigned to that spouse. A mortgage on the marital home may be assigned to the spouse who keeps the home. The court can also order one spouse to refinance certain debts to remove the other spouse’s name from the obligation.
What happens to joint credit card debt in a Utah divorce?
Joint credit card debt is marital debt subject to division. The court can order one spouse to pay a joint credit card balance, but as discussed above, this does not prevent the credit card company from pursuing both spouses. The safest approach is to pay off and close all joint credit cards as part of the divorce settlement. If that is not possible, the divorce decree should include a specific allocation of responsibility and an indemnification clause stating that if one spouse pays a debt the other was ordered to pay, the paying spouse can recover from the non-paying spouse. Even with these protections, the credit card company can still report late payments on both credit reports, so it is critical to monitor accounts after the divorce.
| Debt Type | Classification | How Handled |
|---|---|---|
| Mortgage | Marital (if during marriage) | Assigned with the property or split on sale |
| Joint Credit Cards | Marital | Paid off, closed, or allocated with indemnification |
| Car Loans | Marital (if during marriage) | Assigned with the vehicle |
| Student Loans | Marital if for either spouse during marriage | May be assigned to the educated spouse |
| Medical Bills | Marital | Divided equitably; children’s medical debt has special rules |
| Tax Liability | Marital (joint return) | Allocated based on Innocent Spouse Relief rules |
| Pre-Marriage Debt | Separate | Stays with the spouse who incurred it |
Are student loans considered marital debt in a Utah divorce?
Student loans taken out during the marriage for either spouse’s education are generally considered marital debt subject to equitable division. The rationale is that the education benefits both spouses through increased earning capacity during the marriage. However, the court has discretion to assign student loans to the spouse who received the education, particularly if that spouse has a higher earning capacity as a result. Student loans from before the marriage are separate debts. Student loans incurred after separation may also be separate. The court may also consider the enhanced earning capacity that the education provides when determining the overall equitable division and any alimony award. Supporting a spouse through professional school is a factor the court can consider in both property division and alimony.
What is separate debt in a Utah divorce?
Separate debt includes debts incurred before the marriage, debts incurred after the date of separation that did not benefit the family, and debts incurred during the marriage that did not benefit the marriage and were solely for one spouse’s benefit. Examples of separate debt may include credit card charges for an affair, gambling debts, legal fees for a criminal defense unrelated to the family, and debts incurred to purchase separate property. However, if the other spouse knew about and benefited from the debt, or if marital funds were used to make payments on the debt, it may be reclassified as marital. As with separate property, the party claiming a debt is separate bears the burden of proof.
Can the court order one spouse to pay the other spouse’s attorney fees?
Yes. Under Utah Code 30-3-3, the court may order one spouse to pay the other spouse’s attorney fees and costs in a divorce proceeding. The court considers the financial resources of both parties, the reasonableness of the fees, and whether one party has acted in bad faith or caused unnecessary litigation. Attorney fee awards are separate from the division of marital debt. If one spouse has significantly greater financial resources, the court may order that spouse to contribute to the other’s legal fees to ensure both parties have equal access to legal representation. Failure to pay court-ordered attorney fees can result in contempt proceedings and additional sanctions.
Frequently Asked Questions
Can a creditor collect from me for a debt my ex-spouse was ordered to pay?
Yes. A divorce decree allocating debt is binding only between spouses. Creditors who were not parties to the divorce can still pursue either spouse for joint debts. This is the most important thing to understand about debt division.
How can I protect myself from my ex-spouse’s unpaid debts after divorce?
Close all joint accounts, remove yourself as an authorized user from individual accounts, require refinancing of jointly held debts within a specific timeframe, and include indemnification and hold harmless clauses in the decree.
Are tax debts from a joint return divisible in a Utah divorce?
Yes. Tax liabilities from joint returns filed during the marriage are marital debts. The IRS has its own innocent spouse relief rules that may provide protection if your ex-spouse was solely responsible for the underpayment.
What happens to credit scores after a Utah divorce?
Your credit score is not directly affected by the divorce itself, but late payments on joint accounts will affect both spouses’ credit. Paying off and closing joint accounts before the divorce is finalized helps protect both credit scores.
Can the court divide a debt that is only in one spouse’s name?
Yes. The court has authority to allocate responsibility for any debt, regardless of whose name is on the account. However, the court cannot require the creditor to accept payment from the other spouse or remove the named debtor.
Is a business debt incurred during marriage marital or separate?
Business debt incurred during the marriage is generally marital debt if it was for a business that benefited the marriage. The court will consider whether the business was marital property and whether the debt was necessary for the business.
What if my spouse hid debt from me during the marriage?
Hidden debt, like hidden assets, can be addressed through the discovery process. If a spouse concealed debt, the court can assign that debt entirely to that spouse and award sanctions including attorney fees.
Can we agree on debt division without going to court?
Yes. If both parties agree on how to divide debts, they can include the agreement in a stipulated divorce decree. The court will review the agreement to ensure it is fair, but typically approves mutually agreed allocations.
Do you need a lawyer for debt division in a Utah divorce?
Debt division in a Utah divorce involves complex interactions between family law and creditor rights. The court’s allocation of debt between spouses is only half the battle. Protecting yourself from creditor claims after the divorce requires careful drafting of the decree and strategic financial planning. An experienced Utah divorce attorney can help you identify all marital debts, negotiate a fair allocation, and include the necessary protections in your divorce decree.
Going through a divorce in Utah? Jeremy D. Eveland, MBA, JD, can help you navigate the legal process and protect your rights.
Call (801) 613-1472 or visit jeremyeveland.com to schedule a consultation today.
This article is for informational purposes only and does not constitute legal advice. Consult with a qualified Utah family law attorney for advice specific to your situation.
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