questions & answers

Question: My husband recently passed away and I found out he took out a signature loan from a credit union. I'm not on the account, I had nothing to do with the loan, and my income was not part of the application process. Am I required to repay this loan?

Answer:  Whether a spouse is responsible for a personal loan taken out by the other spouse (in their name only) depends upon when the loan was taken out, what sort of loan it is (meaning what the money is used for and how it was obtained) and whether the initial spouse has agreed in writing to assume responsibility for the loan. If the loan was taken out before the marriage, it should remain separate property and be the responsibility of the spouse that took the loan out. If the loan was taken out during the marriage, however, it should remain the sole responsibility of the person who took the loan out unless their spouse agrees in writing to assume responsibility for paying back the loan. Because debt issues can be complex, it is recommended that you consult an attorney directly in order to determine your responsibility for this loan, if any.