A debt can result in a wage garnishment if the borrower does not pay according to the terms of the agreement and a court grants a judgment against the borrower. In most cases, a debt is a contract exclusive to the people who entered into it. However, there are circumstances in which a creditor can come after you as the wife of a husband behind on his debt.
Co-Signer, Co-Borrower or Guarantor?
You need to find whether you created a legal agreement to pay back the debt. If you signed up for a credit card or loan as a co-signer, co-borrower or co-applicant, then the debt is legally yours, too. The creditor can garnish your wages, even if privately you and your husband agreed that the loan was his obligation. In addition, if you signed as a guarantor of a loan or other kind of transaction, then you agreed to be legally responsible for the debt if your husband did not pay. However, if you are an authorized user of the account, you have the privileges of using the credit but none of the responsibilities for paying it back or making credit decisions. Your wages cannot be garnished if a creditor seeks a judgment on a default credit account on which you were only an authorized user.
When Did the Debt Occur?
You are not liable for any debts your husband incurred before you married him. Nor are you responsible for any debts he incurs following a divorce. What can happen is the garnishment order can attach a bank account you share with him. If your income gets deposited into that account, your money can be seized. However, banks must provide you with advance notice, and you should be aware of when a court renders a judgment against your husband. This should give you enough time to make arrangements to protect your money or help pay the debt.
Community Property Laws
Under community property laws, the husband and the wife equally own all income and property acquired in marriage. Unfortunately, so are the debts. And if a default happens, you could get your wages garnished even if your husband is the one who always paid the bill. The states that observe community property are Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington, Washington and Wisconsin (as well as Puerto Rico). Some tribal communities also follow community property laws. If you live in a community property state, you can create a postnuptial agreement to treat your debts as separate. Other states go by what's known as "equitable distribution." That means a judge can decide who's responsible for the debt. Just remember a judge's divorce case ruling can't supersede the credit contract. So if a judge orders your husband to pay a debt of yours and he doesn't, you still have to pay that creditor. Your recourse would be taking him back to court to enforce the judge's order.
Doctrine of Necessaries
A little-known law borrowed from British common law says that it's a husband's duty to provide for any necessary expenses of his wife and children. A person selling something to you as a wife can then charge your husband or hold him responsible for making payment on the transaction. The condition is that whatever the transaction, it must be critical to your sustenance. In practice today, the law is gender-neutral. It often plays out in cases where a husband gets sick and dies before his medical bills are paid, and the hospital sues the wife. Or if spouses separate for a time and one of them doesn't pay utility bills, for instance. Seek the advice of an attorney to defend yourself in such a case to avoid garnishment.
Be Pre-emptive
If you know your husband is having a difficult time paying bills, protect yourself from becoming liable for his debts by working out a new household budget so you can make payment arrangements. In addition, if bill collectors begin calling about your husband's debts, it's best not to speak with them about it. They are especially trained in making people think they are responsible for debts when they are not. Instead, work things out so the bills get paid and you can avoid a judgment altogether.
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