Liability of Previous Marriage Loans


#1

I am in a relationship with someone who was recently divorced (2 years). As part of her ED, she agreed to remain as the co-signer for the mortgages on several investment/rental properties until a more favorable economic time (another ~18 months max). Are there any financial pitfalls for me if we were to get married? In other words, it’s possible that her ex could default on the loans which would bankrupt her. Would this impact my credit or could this create any financial liability on me, if we were married?

As always, thank you for your service!


#2

Getting married doesn’t impact your credit score whatsoever. Where your credit will be affected is if/when you start adding your spouse onto your existing accounts or opening new ones with her. Creditors will then look at her information as well as yours, and this can be a negative thing for you if she ends up having terrible credit. Think of adding someone to your account as being similar to co-signing a loan with them. You will be liable for things she purchases, and your credit can be impacted. Be aware that we do have deficiency judgments in this state in the event of a foreclosure. There are many other things that could impact all of this that are far beyond the scope of this family law forum. You should consult with a real property or foreclosure attorney if you have specific questions that you want to clarify before marriage.