How Are Debts Divided During Divorce in Illinois?

 Posted on February 13, 2026 in Divorce

In an Illinois divorce, debts are divided during the property division stage. As of 2026, Illinois courts continue to follow an equitable distribution model, meaning judges focus on fairness rather than a strict fifty-fifty split. In a recent survey, 42 percent of respondents said credit card debt contributed to their divorce, showing how often financial obligations become part of the separation process.

If you are preparing for divorce, our Kane County, IL divorce lawyers can explain how the courts decide how to divide property and debt.

What Does Equitable Distribution Mean for Debt?

Illinois is an equitable distribution state. This means marital debts are divided in a way the court believes is fair after reviewing the couple’s financial situation.

Under 750 ILCS 5/503, courts use several factors to help them decide how to divide both marital property and marital debt. These include each spouse’s income, future earning ability, and financial responsibilities.

Which Debts Are Considered Marital Property in Illinois?

"Marital debt" usually includes obligations taken on during the marriage, regardless of whose name is on the account. Separate debt typically remains with the spouse who created it.

Courts first decide whether a debt belongs to the marriage. Common examples of marital debt include:

• Credit card balances built up during the marriage
• Mortgages on a shared home
• Auto loans for family vehicles
• Medical bills
• Personal loans used for household expenses

Even if one spouse handled most of the finances, the court may still treat these obligations as shared.

How Do Illinois Courts Decide Who Pays What When Dividing Debt During a Divorce?

Judges review the full financial picture before assigning responsibility. The goal is to avoid placing an unfair burden on one spouse. Courts often consider:

• Each spouse’s income and earning potential
• Who benefited from the debt
• Whether one spouse wasted marital funds
• Child-related financial needs
• Property each spouse receives in the divorce

For example, a spouse who keeps the marital home may also take on the mortgage. Courts try to balance assets and debts so the outcome is reasonable.

Kane County courts apply the same statewide rules. However, local judges may evaluate financial details differently depending on the facts of the case.

Are You Responsible for Debt in Your Spouse’s Name After Divorce?

If the debt supported the household, it may still count as marital even if only one spouse signed for it. However, debt tied to clearly separate spending, such as purchases made after the relationship broke down, may be assigned to the spouse who created it.

Under 750 ILCS 5/501, courts can also issue temporary orders for your finances during the divorce. This helps ensure that bills continue to be paid while the case is pending.

What Happens if Your Ex Does Not Pay a Debt After Divorce?

A divorce judgment can assign responsibility for a debt, but it does not change your contract with the lender. If your name remains on a joint account and your ex stops paying, the creditor may still pursue you. Late payments can damage your credit score even if the court ordered your former spouse to pay.

Because of this risk, many people refinance loans, transfer balances, or close joint accounts when possible. Monitoring your credit after the divorce can also help you catch problems early.

What Steps Can You Take Now To Protect Yourself Financially During Divorce?

Taking action early in the divorce process can help prevent long-term financial problems. Many people focus on dividing assets but overlook the risks tied to shared debt.

Consider these proactive steps:

• Make a full list of all debts, including balances and account holders.
• Check your credit report for joint accounts you may have forgotten.
• Avoid taking on new joint debt during the divorce.
• Keep records showing how debts were used.
• Speak with a lawyer before agreeing to pay a debt that may not be yours.

Being organized and informed can help you enter negotiations with confidence and reduce the chance of unexpected liability later.

Schedule a Free Consultation With Our Geneva, IL Divorce Attorneys

At Serrano Hanson & Hurtado, LLC, we help clients understand how Illinois courts approach debt and work toward outcomes that support long-term stability. Our divorce attorneys guide individuals through complex financial questions so they can move forward with confidence.

If you are preparing for divorce or have questions about marital debt, call 630-844-8781 to schedule a free consultation with our Kane County, IL divorce lawyers. Se Habla Español.