--- title: "Money & Marriage: Till Debt Do Us Part" description: While debt usually remains the responsibility of the partner whose name it's in. Here are three ways in which the spouse may become responsible for the debt. image: https://www.beyonddebt.com.au/hubfs/pexels-photo-580677.jpeg --- ![Top bar image](https://www.beyonddebt.com.au/hubfs/Assets%202019/Top%20bar%20image.jpg "Top bar image") ###### ![](https://www.beyonddebt.com.au/hubfs/Assets%202019/Tv.svg)Did you see us on TV? - [Click Here](https://www.beyonddebt.com.au/debt-help) ![Close](https://www.beyonddebt.com.au/hubfs/Assets%202019/Close.svg "Close") [![Logo](https://www.beyonddebt.com.au/hs-fs/hubfs/Assets%202019/Images/Beyond%20Debt%20black.png?width=560&height=128&name=Beyond%20Debt%20black.png "Logo")](https://www.beyonddebt.com.au) [![Logo](https://www.beyonddebt.com.au/hs-fs/hubfs/Assets%202019/Images/Beyond%20Debt%20white.png?width=560&height=128&name=Beyond%20Debt%20white.png "Logo")](https://www.beyonddebt.com.au) #### [![Phone](https://www.beyonddebt.com.au/hubfs/Assets%202019/Images/Button%20Copy.svg)**1300 284 091**](tel:1300%20284%20091) #### [![Phone](https://www.beyonddebt.com.au/hubfs/Assets%202019/Images/Button%20Copy.svg)![](https://www.beyonddebt.com.au/hubfs/Beyond%20Debt%20October2017/small-icon.svg)**1300 284 091**](tel:1300%20284%20091) [![Free Consultation](https://no-cache.hubspot.com/cta/default/2583772/02eddd09-66a0-4e61-9e59-63ae64bfd94a.png)](https://cta-redirect.hubspot.com/cta/redirect/2583772/02eddd09-66a0-4e61-9e59-63ae64bfd94a) #### [1300 284 091](tel:1300%20284%20091) - ##### [Eliminate Debt](https://www.beyonddebt.com.au/blog/topic/eliminate-debt) [## How to Get Out of Debt in 2026: The Australian's Step-by-Step Guide (And Free Budget Planner) ](https://www.beyonddebt.com.au/blog/take-control-of-your-debt) [Read Article](https://www.beyonddebt.com.au/blog/take-control-of-your-debt) - ###### [Handle Money](https://www.beyonddebt.com.au/blog/topic/handle-money) # [Money & Marriage: Till Debt Do Us Part](https://www.beyonddebt.com.au/blog/till-debt-do-us-part) - ###### Kristin Perissinotto - ###### 17 Jan 2018 ###### LATEST ARTICLES - Handle Money [Back to blog](https://www.beyonddebt.com.au/blog) - Share - [**](https://www.facebook.com/sharer/sharer.php?u=https%3A%2F%2Fwww.beyonddebt.com.au%2Fblog%2Ftill-debt-do-us-part) - [**](https://www.twitter.com/share?url=https%3A%2F%2Fwww.beyonddebt.com.au%2Fblog%2Ftill-debt-do-us-part) - [**](http://www.linkedin.com/shareArticle?mini=true&url=https://www.beyonddebt.com.au/blog/till-debt-do-us-part)   ![pexels-photo-580677](https://www.beyonddebt.com.au/hs-fs/hubfs/pexels-photo-580677.jpeg?width=1024&name=pexels-photo-580677.jpeg)   Many couples believe that after saying ‘I do’, their partner’s debt becomes shared. For existing debt, this is not the case. If one person comes into a marriage or defacto relationship with debt, it remains in their name throughout the partnership. While some couples will choose to pay this debt off together, there is no legal obligation to do so. ## What happens to debt incurred after marriage? If one partner incurs a debt after nuptials, it will usually remain the responsibility of the partner who’s name is on the loan. There are, however, three ways in which the spouse may become responsible for the debt. These are three circumstances which could make you responsible for your partner’s debt: ![document-agreement-documents-sign-48148](https://www.beyonddebt.com.au/hs-fs/hubfs/document-agreement-documents-sign-48148.jpeg?width=320&name=document-agreement-documents-sign-48148.jpeg)   ### **1. **If You Sign as a Guarantor for a Loan. A guarantor can be used by a lender to sign a loan, often when the borrower is deemed likely to fall through on their debt. A guarantor can be held responsible if the borrower does not pay their debt. As a guarantor, your assets are on the line if the borrower defaults on the loan. If a guarantor fails to pay, they can be sued for the money owed. Before signing as a guarantor on a loan, it is recommended that one seeks legal counsel. ### **2.** If You Enter a Contract as a Party. If you sign a contract such as a mortgage with your partner, as a co-borrower, you are responsible for paying back the loan. A typical contract will have partners borrowing jointly, which means that each party will be liable for the full amount (instead of half each). This means that the lender can go after one party individually for the entire amount if the loan repayments fail to be made. ### **3. **If Your Partner Signs a Contract as Your Agent. This is often the case if you are in business with your partner. If you are in business together, it can be understood that if one party signs, the other party is also liable. This can mean that your partner can sign contracts on your behalf, making you liable. It is important to make all parties aware if you do not with this to be the case when entering contracts with other businesses. > If you are concerned about sharing debt with your partner, ensure that you think carefully before entering into any of these decisions. Always seek legal counsel before signing as a guarantor, co-borrower, or are having someone sign on your behalf. ![pexels-photo-359165](https://www.beyonddebt.com.au/hs-fs/hubfs/pexels-photo-359165.jpeg?width=320&name=pexels-photo-359165.jpeg)   ### **Debt After a Relationship Ends** If a marriage or defacto relationship ends, the above rules continue to apply. Any debt incurred by one partner during the relationship will remain theirs alone. The only time you could be liable for a partner’s debt following the ending of a relationship is in the case of the three situations listed above. ### **Sharing the Burden of Debt** Coming clean about your debt to a friend or family member can be difficult. Being honest with a partner can be even harder, but can assist by lifting some of the mental burden. While debt brought into a marriage is not legally shared, it can still put a strain on to a partnership. Being honest with your partner in some cases could remove some of the strain and stress from your debt. While it can be a challenging to be open about debt and financial struggles, a problem shared is a problem halved. ###### Ready to become debt free? #### Take the first step to a debt free future [Ready to become debt free?](https://info.beyonddebt.com.au/request-a-consultation) ### You might find these interesting - ##### [Handle Money](https://www.beyonddebt.com.au/blog/topic/handle-money) ## [Financial Abuse](https://www.beyonddebt.com.au/blog/financial-abuse) - ###### Ben Paris - ###### 08 Sep 2022 - ##### [Handle Money](https://www.beyonddebt.com.au/blog/topic/handle-money) ## [Things that will NOT save you money!](https://www.beyonddebt.com.au/blog/things-that-will-not-save-you-money) - ###### Ben Paris - ###### 29 Jun 2022 - ##### [Handle Money](https://www.beyonddebt.com.au/blog/topic/handle-money) ## [Top 10 Missed Tax Deductions](https://www.beyonddebt.com.au/blog/top-10-missed-tax-deductions) - ###### Ben Paris - ###### 03 Jun 2022 - [Personal Finance Basics (126)](https://www.beyonddebt.com.au/blog/tag/personal-finance-basics) - [Handle Money (100)](https://www.beyonddebt.com.au/blog/tag/handle-money) - [Everyday Expenses (61)](https://www.beyonddebt.com.au/blog/tag/everyday-expenses) - [Affordable Living (50)](https://www.beyonddebt.com.au/blog/tag/affordable-living) - [Build Savings (33)](https://www.beyonddebt.com.au/blog/tag/build-savings) ## Ready to become debt free? #### Speak with one of our specialists to start your future [![About Beyond Debt](https://no-cache.hubspot.com/cta/default/2583772/e771166e-724a-4461-9ee9-fd819c4c0fe2.png)](https://cta-redirect.hubspot.com/cta/redirect/2583772/e771166e-724a-4461-9ee9-fd819c4c0fe2) [![Get Help](https://no-cache.hubspot.com/cta/default/2583772/8ac6a951-8425-44d9-91d4-0928fca0084e.png)](https://cta-redirect.hubspot.com/cta/redirect/2583772/8ac6a951-8425-44d9-91d4-0928fca0084e) #### [![Phone](https://www.beyonddebt.com.au/hubfs/Assets%202019/Images/Button%20Copy.svg)![](https://www.beyonddebt.com.au/hubfs/Beyond%20Debt%20October2017/small-icon.svg)**1300 284 091**](tel:1300%20284%20091) - ![Family-Owned-transparent-300x158](https://www.beyonddebt.com.au/hs-fs/hubfs/Assets%202019/Images/Family-Owned-transparent-300x158.png?width=115&name=Family-Owned-transparent-300x158.png) - ![pipa_logo_transparent_300w_100h](https://www.beyonddebt.com.au/hs-fs/hubfs/Assets%202019/Images/pipa_logo_transparent_300w_100h.png?width=151&name=pipa_logo_transparent_300w_100h.png) - ![Feefo](https://www.beyonddebt.com.au/hs-fs/hubfs/Feefo.png?width=115&name=Feefo.png) ##### Debt Help ##### Company ##### Resources Beyond Debt is a trading name of DCS Group Aust Pty Ltd. Australian Credit License: 382607. RDAA Number: 1126. PO Box 3074 Newstead, QLD, 4006. DCS Group operates under a Limited Liability scheme approved under Professional Standards Legislation [Privacy Policy](https://www.beyonddebt.com.au/privacy-policy)