Credit Card situation

[SadStepMom]

Hi Soc,

Divorce took place in CA, was finalized in January of 2000.

There were approx. 14 joint credit cards that were divided up in the decree, saying that 7 (listing each of the 7) were DH's and the other 7 (again, listing each of the 7) were the responsibility of his ex-wife.

It also states in the decree that these cards are to be paid off and closed.

Ex-wife told DH that her cards were paid off before the divorce was even final.

We ran DH's credit report and there is still one card open, and she has been using it.  Currently it is $600 over the limit, and has a large monthly payment.  We have strong reason to believe ex-wife is having financial difficulties and won't be keeping up on the payment.

DH called the credit card company and told them the situation, stating that ex-wife, according the divorce decree, was responsible for that card and that he wanted it off of his credit report.

The credit card company said that they couldn't do that, the only thing DH could do until it was paid off, was to close the account.  

That is fine and good, but his credit report will still show him having an account that is over the limit and a high monthly payment.  

1)  Is there anything DH can do to fix this?

2)  If there is nothing DH can do to fix this besides paying it off, - if she gets behind in payments, can part of his child support payment be allocated to paying off this debt?

3)  If #2 isn't possible, is it possible to make the payments and have that amount removed from his supposed arrears.

Thanks :)

[socrateaser]

>1)  Is there anything DH can do to fix this?

The only thing that you can do is to write to the credit card company, tell them that you were unaware that this account was still open, provide a copy of your order, and then try to negotiate with them to delete the negative entry from your credit report. You could agree to a settlement and release, that closes the account, pays off the card, in return for which the credit card issuer agrees in writing that your account was never late and paid in full, and that the issuer will delete the negative entry. In order to really get the issuer's attention, you will probably have to wait until the debt goes to collection. As long as the bank believes there is a reasaonble probability of them obtaining full payment, they won't have any inscentive to negotiate with you.

A release such as this is tricky to write -- you will probably need an attorney, unless you are particularly good at contract law.

>
>2)  If there is nothing DH can do to fix this besides paying
>it off, - if she gets behind in payments, can part of his
>child support payment be allocated to paying off this debt?

You cannot, and the court will not, force the other parent to allocate child support money to the payment of this debt. But, even if the court so ordered, that would not clear your credit report.

The credit card issuer is a third party who is not part of your divorce. Despite the fact that the court ordered the allocation of debts between you, if you originally agreed to be jointly liable for the credit card debt with your ex, then you are still jointly liable, even if she doesn't pay.

>
>3)  If #2 isn't possible, is it possible to make the payments
>and have that amount removed from his supposed arrears.

Your solution, assuming that your court order does in fact order, the account paid off and closed, is to file a motion for contempt. It has been years now and the other parent has failed to follow the order. If you can show that she continued to charge the account after the court order was made, that would prove a willful violation of a known order, therefore you would be entitled to sanctions for the contempt. You could ask the court to order the account closed immediately, and a judgment issued in your favor for the balance owed on the account. Then you could execute against her assets/bank accounts, lien her home, garnish her wages, etc., in order to get your money.

It is legally possible that a court could lower your support payment or reduce the amount of your support arrears, to cover a payment plan for the remaining balance of the card, but I very much doubt  that the court would do so, because, that would have the effect of making a debt, which would otherwise be discharable in bankruptcy, non-dischargable (child support judgments cannot be bankrupted away).

Your ex, could of course agree to release you from the support arrears judgment in an amount equal to the debt. But, that will probably happen when hell freezes over, right?

[SadStepMom]

thank you :)