Who Is Responsible For Student Loan Debt Following a Divorce?

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The Wall Street Journal reported recently that college students and alumni are now more in debt than ever because of student loans, with students who earned bachelor’s degrees in 2012 having an outstanding loan balance of $29,400. Those with advanced degrees have even more.

This leaves some people facing an interesting question: Who is responsible for student loan debt following a divorce?

Really, it comes down to a number of factors, including income, premarital agreements and location. Typically, premarital debt is not divided. However, in New York (not in New Jersey), if the value of a license or degree is subject to Equitable Distribution, the debt will be deducted from the value of the degree.

Sponsored by Kantrowitz, Goldhamer & Graifman P.C., located in Rockland County, N.Y.