FUEGO
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
- Joined
- Nov 13, 2007
- Messages
- 7,746
In general, how is this thing handled in a divorce? If he divorces her tomorrow, does he have any responsibility concerning the debts? I'm guessing "no" because they are all illegal and off the books (?)
Good question. The CC debts will most likely be divided up equitably along with whatever assets they have. I imagine the gambling debts will not be considered in the equitable distribution of property since they are not valid debts (void since they are illegally contracted). I'm not sure if our state has a provision in the equitable distribution statute to allow a disproportionate share of assets (or smaller share of CC debt) to be awarded to the non-gambling spouse due to gambling spouse's malfeasance.
Most likely, if gambling SIL gets an attorney for the divorce and custody proceedings, I imagine she may not disclose any of the gambling debts if custody is in dispute. Seems like that might cut against her worse than sticking her ex with half of her gambling debts. Her kids are worth more than $10,000 or so I imagine.
On a different note, I forgot to mention that the vig on this $20,000 works out to $1650 a month. Clearly unsustainable given SIL's income and her husband naturally is not paying any of that vig. On the bright side, I'm not aware that anyone in the family has been hit up for money since April. And she is probably tapped out on new CC applications. Her last one from a few weeks ago had a $400 credit limit. Not very helpful given the size of the vig and her gambling loss burn rate. My prediction is this is going to end very badly for her in one or more respects very soon unfortunately (or maybe fortunately over the long term??).