What happens to debts when splitting assets in a divorce in Ontario?

In Ontario divorces, matrimonial debts are typically split equally between spouses When dividing assets and debts during an Ontario divorce, matrimonial debts acquired during the marriage are generally shared equally between both parties, regardless of whose name is on the account. This is part of the province's equalization of net family property process. Common types of shared matrimonial debts include: Mortgage payments on the family home Joint credit card balances and credit lines Bank loans taken during the marriage Vehicle financing for family vehicles Home equity lines of credit (HELOCs) However, debts incurred before the marriage or after separation typically remain the responsibility of the individual spouse. Working with a divorce mediator or financial analyst can help ensure a fair and legally sound division of matrimonial debts.

Ontario Divorce: Splitting Matrimonial Debts Equally

In Ontario divorces, matrimonial debts are typically split equally between spouses

When dividing assets and debts during an Ontario divorce, matrimonial debts acquired during the marriage are generally shared equally between both parties, regardless of whose name is on the account. This is part of the province’s equalization of net family property process.

Common types of shared matrimonial debts include:

Mortgage payments on the family home
Joint credit card balances and credit lines
Bank loans taken during the marriage
Vehicle financing for family vehicles
Home equity lines of credit (HELOCs)

However, debts incurred before the marriage or after separation typically remain the responsibility of the individual spouse. Working with a divorce mediator or financial analyst can help ensure a fair and legally sound division of matrimonial debts.