Getting divorced doesn’t necessarily mean you are free from shared obligations like your mortgage. Even if your legal agreement says that your ex is responsible for making payments, their late or missed payments can still tank your credit. Dealing with this is frustrating, so it’s advisable to connect with an experienced Mansfield Divorce Lawyer as soon as possible to protect your interests. Please continue reading to learn what happens if your ex stops paying the mortgage in Massachusetts. 

Will a Divorce Agreement Stop Your Ex from Tanking Your Credit? 

Although a divorce judgment may make your ex legally responsible for your mortgage, it has no impact on the original loan agreement. Given the fact that both names remain on the contract, the lender will continue to view both parties as equally liable for the debt. Even if your ex is ordered by the court to satisfy payments, the bank will still hold you accountable if the account falls into delinquency. 

What is the Difference Between a Divorce Order and a Mortgage Contract? 

It’s important to understand the distinction between two separate legal frameworks: a divorce order and a mortgage contract. A court order only governs the relationship between you and your ex, carrying no weight with the financial institution that issued your mortgage. Mistakenly believing that a personal settlement overrides a signed loan agreement is a common and costly error that many make after the divorce process.

What Happens If Payments Stop? 

In the unfortunate event that your ex fails to make their mortgage payments, you can expect immediate and severe consequences. A lapse in payment will destroy your credit score, regardless of who was originally supposed ot pay. You also face the threat of foreclosure and legal action, as lenders possess the right to pursue either signed for the entire balance. Credit bureaus are usually notified within 30 days of a missed payment, and foreclosure processes can begin after just a few months of nonpayment.

What Are Your Legal Options?

Just because the divorce has been finalized doesn’t necessarily mean that you are all out of options if mortgage issues arise. Consider the following actions to resolve the matter:

  • Seeking Court Enforcement: If your ex was assigned the mortgage in your divorce agreement, you can petition the court to ensure they comply with the terms. 
  • Filing for Contempt: If your ex disregards a court order regarding their mortgage obligation, they may be held in contempt of court. This can result in hefty fines, time behind bars, and other sanctions. 
  • Pursuing Refinancing: Depending on the unique circumstances, you might be able to remove yourself from the loan entirely through a refinance or modification. 
  • Selling the Home: In most cases, you can sell the property. 

It should be noted that if property-related issues persist after you’ve received a judgment, the court provides specific processes, known as post-judgment motions, enabling you to enforce or modify existing agreements. 

At The Law Offices of Cynthia L. Hanley, P.C., we are prepared to help you enforce your divorce decree and protect your financial well-being. Connect with our firm today to schedule a confidential consultation.