Home equity loan


#1

In 2009 before we married, my husband and I signed a home equity loan against my home for $20,000.00 The loan was to pay off his debts.
He used the entire amount in less than a year to pay off his debts (credit cards, my engagement ring, a boat, etc.) I have the statements to show that he was the only person that withdrew money from this account and the only person that wrote checks from this account.
We married in 2010 and he has had the payments automatically withdrawn from his checking account for the past 6 years.
He left me in July 2015 for another woman and now refuses to pay this debt, stating that he is “not going to pay for my home”. Obviously insinuating that because its called a “Home Equity Loan” that it went to add value to my home, which it emphatically did not.
I am now stuck making the payment and I am drowning because of it.
What can I do? Because he used the money for his own benefit before we were married can a judge make him pay this off?


#2

There are several ways you could approach this, but one way would be to file a complaint for equitable distribution and establish that the debt is separate debt and ask the court to rule that he pay for it. You’ll need to address other loans associated with the house as well; for instance if the mortgage is in both names, it will need to be refinanced. You could also consider filing a motion for interim distribution just to address the issue of the equity line, I would consult with an attorney in your area to see what the best way to proceed is.


#3

Thank you so much! Luckily I had never put his name on the house, that’s one positive thing.


#4

… And the negative thing for you is the person that has property (you) more typically keeps the debt associated with it. The court’s order regarding the debt is of limited to help you, if he doesn’t pay, you have to or risk foreclosure. The amount took out before the marriage is pretty much a gift to him. You defiantly need a lawyer.