Student loan payment reimbursement?

[homebrew]

I'm an Indiana resident. My marriage lasted < 3 years and I entered into the marriage with a substantial amount of equity (stocks, trust funds, etc..) while my spouse had a substantial amount of student loan debt. This debt was taken out entirely before our marriage for the spouse's undergrad studies. After marriage, I used almost all of my spare funds to pay down the student loan debt from 110,000 to 2,500 at the time of separation. I estimate 75% of this was paid off with funds that were solely in my name prior to our marriage. Is there any hope of getting any of this debt reimbursed via a lien or otherwise?

 

[Zigner]

What was the agreement with regard to this? I suspect you were simply being the good wife and paying off your husband's debts. Not that things are going south, you want to create some sort of repayment agreement where none existed previously.

 

[Mnemosyne]

What was the agreement with regard to this? I suspect you were simply being the good wife and paying off your husband's debts.

Or perhaps the good husband paying off the wife's debts. OP's post was gender non-specific.

 

[Zigner]

Or perhaps the good husband paying off the wife's debts. OP's post was gender non-specific.

My signature addresses this very concern

 

[jiggy78]

Simply present the repayment agreement you both signed prior to you paying off any of your spouse's loan to the Court.

 

[LdiJ]

I'm an Indiana resident. My marriage lasted < 3 years and I entered into the marriage with a substantial amount of equity (stocks, trust funds, etc..) while my spouse had a substantial amount of student loan debt. This debt was taken out entirely before our marriage for the spouse's undergrad studies. After marriage, I used almost all of my spare funds to pay down the student loan debt from 110,000 to 2,500 at the time of separation. I estimate 75% of this was paid off with funds that were solely in my name prior to our marriage. Is there any hope of getting any of this debt reimbursed via a lien or otherwise?

Indiana is an equitable distribution state. There is some slight chance that you could get some relief in the division of the marital property, but other than that, you made a gift to your spouse when you paid down the student loan debt, and your spouse will not be required to repay you.

 

[Mnemosyne]

My signature addresses this very concern

I nodded in agreement at the second line of your signature. Then chuckled as I realized it might also be said that a (feigned?) headache now could reap similar savings 10 months later!

 

[Bali Hai]

I'm an Indiana resident. My marriage lasted < 3 years and I entered into the marriage with a substantial amount of equity (stocks, trust funds, etc..) while my spouse had a substantial amount of student loan debt. This debt was taken out entirely before our marriage for the spouse's undergrad studies. After marriage, I used almost all of my spare funds to pay down the student loan debt from 110,000 to 2,500 at the time of separation. I estimate 75% of this was paid off with funds that were solely in my name prior to our marriage. Is there any hope of getting any of this debt reimbursed via a lien or otherwise?

I'll bet you never do that again.

 

[homebrew]

With regards to it being a equitable distribution state, how much weight would this (the student loan repayment) carry against my house (division of estate)? The house was always in my name, but I doubt, from the sound of it, that this matters.... The spouse is "threatening" fighting me for the house should I not take the settlement agreement of taking half of the checking account at the time of separation.

 

[LdiJ]

With regards to it being a equitable distribution state, how much weight would this (the student loan repayment) carry against my house (division of estate)? The house was always in my name, but I doubt, from the sound of it, that this matters.... The spouse is "threatening" fighting me for the house should I not take the settlement agreement of taking half of the checking account at the time of separation.

If you owned the house prior to the marriage, then the only possible claim your spouse could have against the house would be 1/2 of any equity that accrued during the marriage. I doubt that much, if any, equity has accrued over the last few years.

Equitable distribution mainly has to do with assets that accrued during the marriage and exist now. Using equitable distribution in your case would be to argue against a 50/50 split of marital assets due to the fact that you enriched your spouse for the future by paying off the bulk of his/her student loans.

 

[Ohiogal]

If you owned the house prior to the marriage, then the only possible claim your spouse could have against the house would be 1/2 of any equity that accrued during the marriage. I doubt that much, if any, equity has accrued over the last few years.

Equitable distribution mainly has to do with assets that accrued during the marriage and exist now. Using equitable distribution in your case would be to argue against a 50/50 split of marital assets due to the fact that you enriched your spouse for the future by paying off the bulk of his/her student loans.

Unless of course upon marriage, they added spouse to the deed as well.

 

[ecmst12]

Which doesn't even sound that unlikely given the previously described generosity.

 

[homebrew]

I did refinance during the marriage. I'm not 100% sure the spouse's name isn't on any documents. I know for a fact that it is not on the mortgage, however, I believe the bank may have made an error and the title? may be in both of our names. I specifically informed the bank to make sure it was still only in my name because the marriage was degrading very quickly at that point.
Does it matter if the spouse in on the deed? From the wording of "equitable division" described above, I wouldn't think it would matter... but I've already been royally screwed once... why not another time?...

 

[stealth2]

I did refinance during the marriage. I'm not 100% sure the spouse's name isn't on any documents. I know for a fact that it is not on the mortgage, however, I believe the bank may have made an error and the title? may be in both of our names. I specifically informed the bank to make sure it was still only in my name because the marriage was degrading very quickly at that point.
Does it matter if the spouse in on the deed? From the wording of "equitable division" described above, I wouldn't think it would matter... but I've already been royally screwed once... why not another time?...

Of course it matters thast the spouse's name is on the deed - it makes the spouse a co-owner. And entitled to an equitable portion of the equity.

 

[Ohiogal]

I did refinance during the marriage. I'm not 100% sure the spouse's name isn't on any documents. I know for a fact that it is not on the mortgage, however, I believe the bank may have made an error and the title? may be in both of our names. I specifically informed the bank to make sure it was still only in my name because the marriage was degrading very quickly at that point.
Does it matter if the spouse in on the deed? From the wording of "equitable division" described above, I wouldn't think it would matter... but I've already been royally screwed once... why not another time?...

If the spouse is on the deed they own just as much of the house as you do. And they could be awarded the house in the divorce. And you have not been screwed by anyone but yourself. YOU made the choices and you decided to do this.