If you brought debt into the relationship,a common-law relationship does not automatically create joint responsibility for the debt. If the both of you apply for new debt together,like a joint loan with the bank as co-applicants or if one partner co-signs for the other,then both partners are equally responsible for the repayment of the debt.
People also ask
When does a common law partner become responsible for common debt?
WHEN DOES COMMON-LAW MEAN COMMON DEBT? Someone typically becomes responsible for their common-law partner鈥檚 debt when they have agreed to be one of the following: A Co-Borrower or Joint Applicant: The most typical type of co-borrowing is applying for a mortgage together.
Who has to pay a debt after common law separation?
To figure out who has to pay a debt after common-law partners separate, it is important to know who the debt belongs to. Each partner is responsible for his or her own debts, so after they separate, they don鈥檛 have to help pay the other person鈥檚 debts.
Can a common law spouse sign for the same debt?
As before, the debts you sign for are your debts and your responsibility, and the debts your common-law spouse signs for are his or her responsibility. If you both sign for the same debt, then you are both responsible for the debt. If one of you fails to pay, the lender may come after the other.
What happens when you become a common-law spouse in BC?
Luckily, becoming a common-law spouse in BC does not mean you are now responsible for your common-law spouse鈥檚 debts. As before, the debts you sign for are your debts and your responsibility, and the debts your common-law spouse signs for are his or her responsibility.